Futures Prop Firm Glossary
A glossary of the terms you will meet when comparing futures prop firms, each defined in plain language with how Strike Funded uses it.
Updated 2026-10-16 ยท 5 min read
Account and evaluation terms
| Term | Meaning |
|---|---|
| Evaluation | The first stage: a paid account you trade to reach a profit target within the rules. |
| Funded account | The account you move to after passing, where profits can be paid out. |
| Profit target | The profit you must reach to pass the evaluation. |
| Activation fee | A one-time fee charged when you activate a funded account after passing. |
| Breach | Breaking a rule (such as the maximum drawdown) so the account is closed. |
| Reset | Restarting a failed evaluation. Strike Funded does not offer resets: a breached account is permanent. |
| Simulated account | An account on live data where orders are not sent to the exchange. |
Risk rules
| Term | Meaning |
|---|---|
| Maximum drawdown | The most the account may fall before it is closed. |
| Trailing drawdown | A drawdown floor that follows your highest equity and only moves up. |
| Intraday trailing | A trailing drawdown that updates in real time, including open profit. |
| End-of-day drawdown | A trailing drawdown that updates once per day from the closing balance. |
| Static drawdown | A fixed floor that never moves. |
| Daily loss limit | A cap on the loss allowed within one day. Strike Funded does not use one. |
| Contract limit | The maximum number of contracts you may hold. Minis and micros are counted together, 10 micros per mini. |
| Scaling | A plan that raises the contract limit as profit grows. Strike Funded has no scaling levels. |
Time and payout rules
| Term | Meaning |
|---|---|
| Consistency rule | A rule that limits how much of your profit may come from a single day. Strike Funded has none to pass. |
| Minimum trading days | The fewest days you must trade. One at Strike Funded. |
| End-of-day rule | The time by which positions must be closed. 4:55 PM ET at Strike Funded. |
| Profit split | The share of profits paid to the trader. 90% at Strike Funded. |
| Safety net | The balance you must leave after a payout: starting balance + maximum drawdown + $100. |
| KYC | Know Your Customer: identity verification required before the first payout. |
| Level 1 data | Best bid, best ask, last price and volume. Included in every Strike Funded account. |
| Level 2 data | Market depth beyond the best bid and ask. Not included. |
Read the full rules in the Knowledge Base.
Frequently asked questions
What is a trailing drawdown?
A drawdown floor that follows your highest equity and only moves up. See the guide on trailing drawdown.
What is a consistency rule?
A rule limiting how much of your total profit can come from one day. Strike Funded does not require one to pass the evaluation.
What is a safety net in prop firm payouts?
The balance you must leave in the account after a payout: starting balance plus maximum drawdown plus $100 at Strike Funded.
Keep reading
Strike Funded accounts are simulated: no personal capital is placed at risk and no live market execution takes place. Trading futures involves substantial risk; this page is educational, not financial advice, and nothing here promises results.