OFP Funding Overview
Established in 2022, OFP Funding is headquartered in London, UK. As a relative newcomer to the proprietary trading space, the company aims to distinguish itself by providing traders with a highly transparent and flexible trading environment.
OFP Funding represents a true alternative to the established industry norms, challenging the long-standing practices with the introduction of true instant funding.
The company’s philosophy is based around the idea that trading should be made easier and more accessible, which is why its offer differs so widely from what we’ve seen from other similar trading firms in the past years.
Instant Funding Account & Pricing
As we mentioned above, the main distinguishing factor between OFP Funding and other prop trading firms is its approach to funding.
There are no usual evaluation challenges or profit targets here, as you instantly get access to a funded account.
The offer itself is extremely customizable, allowing you to choose your account size and the maximum daily drawdown rule you want to follow. You can also choose how you want to handle payout times, as well as the currency you want to use.
OFP only has a one-time fee that you have to pay, which is another distinguishing feature in a market dominated by monthly subscription fees. The lowest fee here is just $35 while the highest currently stands at $1,525.
The fees are not refundable though, and there are no free trial or demo options on the site, which is something we’d like to see.
Still, as the barrier of entry is probably the lowest on the market, it’s not exactly as big of a deal as it is with some of the other, more expensive firms we’ve reviewed so far.
There are also no minimum withdrawal requirements here, and you can withdraw profits from day five, as long as you’ve opted for the “on demand” payout option. Otherwise, you can withdraw profits either bi-weekly or monthly.
The Scaling Plan
OFP Funding also offers a great scaling plan, which rewards consistently profitable traders by gradually increasing their account sizes over time.
To qualify, you must achieve a 20% profit on your account within a three-month period, without breaking any of the trading rules, which we will explain a bit further below.
If you succeed, OFP will increase your account by 25% of the initial balance, which can be repeated until you reach a maximum of $5,000,000.
On the other hand, if you do not meet the requirements within that three-month timeframe, you will not be penalized and will be able to qualify for scaling in subsequent cycles.
Trading Rules & Objectives
OFP Funding has implemented a set of trading rules that you must follow in order to prove that you are a disciplined trader that can effectively manage risk.
Basically, you have to respect maximum daily loss limits, maximum overall loss (trailing drawdown) and the consistency rule called Inconsistency Score. Exceeding any of the limits and breaking the rules will result in harsh consequences on your account.
The Maximum Daily Loss rule caps the allowable loss on any given trading day. This rule applies to both equity and balance. The day resets at 12:00 AM CET (Central European Time).
Your account equity or balance must not fall below the highest balance of the day minus the selected daily loss limit. For example, if you select the 5% daily loss limit on a $5,000 account, the maximum daily loss limit must not exceed $250.
If the limit is breached, your account will be immediately terminated with no option for recovery.
The Maximum Overall Loss ensures that the total account equity or balance does not drop below a defined percentage of the initial account balance. This limit is dynamic and calculated from the account’s highest achieved balance.
Your account equity must remain above the trailing drawdown threshold, calculated as the difference between the highest balance achieved and the maximum loss allowed. For example, if you select a 10% overall loss limit on a $25,000 account, the overall loss limit must not exceed $2,500.
Exceeding the Maximum Overall Loss limit also results in account closure with no possibility of reinstatement.
The Inconsistency Score Rule promotes trading consistency by limiting disproportionate performance on individual trading days compared to the overall account profit.
As a trader, you must stay below your account’s defined consistency threshold to qualify for payouts. The score here can be calculated as your best day’s total profit divided by the PnL (Profit and Loss) of your reference period.
If your inconsistency score is higher than allowed, your account won’t be closed but payouts will be postponed until your performance improves and shows consistent results. OFP also allows you to reset the Inconsistency Score upon payment.
To maintain fairness and reduce exploitative behavior, OFP Funding prohibits certain trading methods. Violating these restrictions may result in account suspension or closure.
Banned strategies include:
- Martingale
- Grid Trading
- Latency Arbitrage
- News Straddling
- Tick Scalping