Prop firms with 5000 challenge accounts

Prop trading on a small funded account is a go-to choice for beginner traders as they typically start low and slowly build their confidence. However, finding a reliable prop firm that is known for its safety and customer-oriented services is crucial to ensure long-term success. In this guide, we are going to explain why 5k accounts are so important for beginners and list some of the most trusted prop firms with 5k accounts. We will also provide a comparison table to find the most suitable prop firm for your trading needs.

Prop trading brief overview

Prop trading or proprietary trading refers to unique financial companies that offer funded accounts to traders and share profits. These firms have a unique business model where they generate income by directly trading in financial markets. Recently, the firms that offer funded account challenges have become super popular among retail investors. Funded challenges allow traders to gain access to trading accounts with considerable amounts of money and trade for profits almost risk-free. Traders have to pay tiny fees and pass the evaluation phase, where their trading skills are tested under specific risk parameters. Prop firms have risk management rules, ensuring their capital is in safe hands. These rules often include daily risk limits, maximum drawdown, and predetermined profit targets. If the trader achieves this profit target without breaching any of the risk rules, they get funded and can trade for profits.

Benefits of 5k prop firm challenge for beginners

Prop companies offer a wide range of funded options, often varying between 5,000 USD and 100,000 dollars or more. Beginners should always start from low-funded options and build their trading skills and confidence. Higher accounts have higher emotional stress, and not all beginners have enough risk appetite and expertise to start speculating with 100,000 dollars. Here is the list of 5k challenge account advantages for beginners:

• Low fees — 5k challenges cost much less than funded accounts with higher trading balances. This makes it especially easy for beginners to start trading and not worry about the tiny fees they paid for a challenge
• Low risk-taking — Prop traders are not liable to cover any losses incurred on a 5k challenge account, making it perfect for beginners who are not yet masters of financial trading.
• Low stress — Trading on a small account is almost stress-free when compared to 100,000 USD accounts where traders have higher emotional stress to perform.

Starting with a 5,000 USD challenge, beginners can experience what it feels like to trade on a live account while being exposed to much smaller risks when compared to traditional financial trading.

The best prop firms with 5000 challenge accounts

Below is the list of reliable prop firms with 5k accounts, known to be trustworthy, cheap, and trader-oriented.

FundedBull — Low fees and discounts for 5k challenges

FundedBull offers one of the cheapest 5k prop firm challenges, allowing beginner traders to start with the smallest budget possible. This is crucial for novices who are just starting their prop trading career and are on a budget. The fees for FundedBull 5k challenge start from just $40 and have one of the most forgiving rules with 90% profit sharing.

📝 List of FundedBull prop trading specs on 5k challenges:

• Year founded — 2024
• Based in — Singapore
• Minimum fee for 5k funded option — $40
• Minimum FundedBull funding — $5,000
• Maximum FundedBull funding — $250,000
• FundedBull daily loss limit on 5k challenge — 4%
• FundedBull maximum drawdown on 5k — 8%
• FundedBull 5k challenge profit target — 6%
• FundedBull 5k profit sharing (payouts) — 90%
• Trading 5k challenge platform — DXTrade, MetaTrader 4, MetaTrader 5, cTrader, Match-Trader
• Trading 5k challenge markets — Forex, indices, commodities, cryptos

FundedBull Safety, Funding Options, and Assets

FundedBull is a promising young proprietary brand that has managed to accumulate a multitude of positive reviews from retail traders. The firm is partnered with regulated brokers and liquidity providers to offer the safest 5k prop firm challenges. The firm also offers other funded options including 5k, 10k, 25k, 50k, 100k, and 250k US dollars. There are several funded account types offered including 1-step, 2-step, and 3-step, making it super flexible for beginners. FundedBull 5k challenge can be used to speculate on numerous financial assets including Forex, indices, commodities, and cryptos. The leverage is around 1:50 which is more than enough to make the most out of your 5k funded account.

FundedBull 5k challenge Rules, Fees, and Platforms

FundedBull 5k challenge rules are forgiving with a 4% daily risk limit, an 8% maximum drawdown, and just a 6% profit target. Any beginner trader who is strict with risk management will hit the 6% profit target in a reasonable period of time. The fees and pricing by FundedBull on their 5k accounts are some of the cheapest in the prop trading industry right now. A 5k 1-step account costs just $49, a 2-step 5k costs $44, and a 3-step 5k will cost just $40. To profitably employ 5k funding, FundedBull offers a wide range of advanced trading platforms including DXTrade, MetaTrader 4, MetaTrader 5, cTrader, and Match-Trader. Mobile trading is available and traders can use these platforms to their fullest capabilities.

FundedBull Education and Support

FundedBull is currently working to offer advanced educational resources and does not offer courses yet. The firm offers excellent customer support services. FundedBull support includes live chat and email support options, and there is also a Discord channel.

Funded Trading Plus — Reliable firm from the UK

Funded Trading Plus is one of the best 5k account prop firms that is super reliable and has been around for some time. The firm is one of the most experienced firms and has only amassed positive trader reviews, which is a serious indication of its legitimacy. Rules are forgiving, and profit sharing is up to 80% which is attractive.

📝 List of Funded Trading Plus specs:

• Year founded — 2013
• Based in — London, UK
• Minimum Funded Trading Plus 5k funded account fee — $119
• Minimum Funded Trading Plus funding — $5,000
• Maximum Funded Trading Plus funding — $200,000
• Funded Trading Plus 5k daily loss limit — 4%
• Funded Trading Plus 5k maximum drawdown — 8%
• Funded Trading Plus 5k profit target — 8%
• Funded Trading Plus profit sharing (payouts) —80%
• Trading platform — Match-Trader, DXTrade, cTrader
• Trading markets — Forex, commodities, indices, cryptos

Funded Trading Plus Safety, Funding Options, and Assets

Funded Trading Plus was launched in 2013 and is very experienced. It offers funded trading through regulated brokers, and the firm has positive reviews from retail traders. One-Phase funded account has 12.5k, 25k, 50k, 100k, and 200k options. Instant — No Evaluation allows traders to access 5k, 10k, 25k, 50k, and 100k amounts, and the Two-Phase account has 25k, 50k, 100k, and 200k USD options. The 5k instant accounts by Funded Trading Plus allow traders to instantly start trading for profits without the need for evaluation. The firm allows traders to access multiple financial markets including Forex minors, exotics, and majors, commodities, indices, and cryptos. The leverage is mostly 1:30 and spreads are very low.

Funded Trading Plus 5k Challenge Rules, Fees, and Platforms

Funded Trading Plus rules are competitive and differ for each funded account type the firm offers. One-Phase account has a 10% profit target, a 4% daily risk limit, and a 6% maximum drawdown. The Two-Phase account has an 8% profit target, 4% daily, and an 8% maximum loss limit. Instant accounts have no profit target, but there is a 6% daily risk and a 6% maximum risk limit. Fees are different for each funded account. The one-Phase $12,500 funded account costs 119 dollars, the Two-Phase 25k account costs $247, and the 5k Instant account will cost $225.

Funded Trading Plus 5k challenge platforms selection are diverse and include Match-Trader, DXTrade, and cTrader. cTrader is the most advanced and popular platform, offering automated trading, custom indicators, and mobile trading apps.

Funded Trading Plus Education and Support

Funded Trading Plus does not offer educational resources currently. The support, however, is among the best in the industry. The firm offers live chat, and email, and has an extensive FAQs section providing quick answers. The firm is not multilingual and its services are only available in the English language.

The5ers — Pay fees after you pass the 5k challenge!

The5ers offers the cheapest 5k funded accounts and also allows traders to pay the fees after they pass the challenge, which is unique and super competitive in the industry.

📝 List of The5ers specs:

• Year founded — 2016
• Based in — Raanana, Israel
• Minimum The5ers 5k funded account fee — $39
• Minimum The5ers funding — $5,000
• Maximum The5ers funding — $200,000 ($4 million through scaling)
• The5ers 5k daily loss limit — 0-3-5%
• The5ers 5k maximum drawdown — 5-6-10%
• The5ers 5k profit target — 6-8-10%
• The5ers profit sharing (payouts) — 80% (up to 100%)
• Trading platform — MetaTrader 5
• Trading markets — Forex pairs, commodities, indices, stocks, cryptos

The5ers Safety, Funding Options, and Assets

The5ers is a reliable prop firm that has been around since 2016, giving it years of experience in the industry. The firm backs its trading with regulated brokers to ensure superior safety and has amassed positive ratings on various online review platforms. The5ers offers 3 different funded account types, Bootcamp, the high-stakes, and instant accounts. Bootcamp is the most beginner-friendly of the three accounts and is a 3-step funded option. The default funded amounts range from 5k to 200k USD accounts, while traders can achieve up to 4 million dollars in funding through the scaling plan. The high-stakes account is a 2-step funded challenge, and an instant account gives traders access to funded trading directly. Traders can use The5ers 5000 funded account to access various markets including Forex pairs, commodities, indices, stocks, and cryptos. Spreads are low and leverage is more than enough.

The5ers 5k Challenge Rules, Fees, and Platforms

The5ers 5k challenges can be acquired after following simple rules, that are slightly different for each funded option. The instant account offers a 3% daily risk limit, a 6% maximum drawdown, and a 10% profit target. The5ers Bootcamp has no daily risk limit, but traders have to maintain a 5% max loss and achieve a 6% profit target. The fees start from 39 dollars and traders can divide the fees so that they pay after they pass the challenge, which is one of the best conditions in the prop industry. The trading platform available is advanced MetaTrader 5 software that is also offered for all mobile devices, including iOS and Android.

The5ers Education and Support

The5ers prop firm offers a dedicated beginner-friendly account, Bootcamp. This account allows traders to gain the necessary knowledge about financial markets and trade profitably. There are video courses, webinars, and video tutorials as well. The firm also offers an economic calendar and other important tools to gauge market sentiment before trading, which is very beneficial for beginners who want to gain the maximum out of their 5000 challenge accounts.

The5ers support consists of live chat email and both the website and support are multilingual.

Traders With Edge — 5000 funded account from 55 bucks

Traders With Edge prop firm 5k account offers traders the opportunity to trade with simple rules and achieve success on a reliable platform.

📝 List of Traders With Edge specs:

• Year founded — 2022
• Based in — Hong Kong
• Traders With Edge 5k funded account fee — $55
• Minimum Traders With Edge funding — $2,500
• Maximum Traders With Edge funding — $1,000,000
• Traders With Edge 5k challenge daily loss limit — 3-5%
• Traders With Edge 5k maximum drawdown — 5-10%
• Traders With Edge 5k profit target — 10%
• Traders With Edge profit sharing (payouts) — 80% (50% on instant accounts)
• Trading platform — DXTrade, Match-Trader
• Trading markets — Forex, digital currencies, metals and energy, stock indices and 500 individual stocks

Traders With Edge Safety, Funding Options, and Assets

Traders With Edge is a reliable prop firm as it has a multitude of positive trader reviews and all trading services are backed by regulated brokers and liquidity providers, ensuring superior safety. The firm offers a wide range of funding options, and the upper default funding is 1 million dollars. There are three account types including 1-step, 2-step, and instant funded challenges. The 1-step account ranges from 5k to 1 million USD in funding, the 2-step account offers funding options between 5k and 400k, and the instant funding offers funded options from 2.5k to up to 40k.

When it comes to trading assets, Traders With Edge allows 500 funded account holders to access Forex, digital currencies, metals and energy, stock indices, and 500 individual stocks. The maximum leverage is capped at 1:100, which is super flexible.

Traders With Edge 5k Challenge Rules, Fees, and Platforms

Traders With Edge rules are simple, the firm only requires traders to follow a 5% daily risk limit and a 10% maximum drawdown. Surely, the rules are slightly different for different accounts. The fees are also super competitive. The 1-step 5k account costs $55 for the standard challenge and $88 for the aggressive mode with higher risk limits. The 2-step standard 5k challenge will cost $69 and Aggressive has a $110 price mark. Traders will have to pay $125 for the 2.5k instant account standard mode and $200 for the aggressive mode. Traders can access their 5000 funded accounts via DXTrade and Match-Trader advanced prop platforms. This software has been optimized for specifically proprietary trading and offers many built-in useful features. Mobile trading is also allowed and available.

Traders With Edge Education and Support

Traders With Edge offers very few resources for a financial trading education. However, the firm offers traders analytics and market insights, which is helpful for beginners to gauge market sentiment. The firm provides excellent customer support experience via live chat and email options. Both the website and support of Traders With Edge are multilingual.

5k challenge prop firm comparison

To make it easier to choose a suitable and reliable firm, we are providing a table of comparison for the top prop firms with 5k challenges.

How to pass the 5k funded account challenge — Brief guide

For beginners who are trying to get funded on a 5k challenge, there are several necessary steps to take. Since trading is about discipline and proper risk management, beginners must develop a viable and sound risk management strategy. Prop firms have strict risk limits to ensure their capital is protected from irresponsible investors, and beginners should develop a well-thought-out risk plan. However, together with risk management and discipline, there are other aspects to account for in prop trading. Here are all the necessary steps for passing the 5000 funded account challenge.

Step 1 — Trading Plan

A trading strategy or trading plan is like a checklist of pilots, it consists of all the important rules and steps to detect trading setup, open trading position, manage the open position, and close it. Traders first need to learn about technical analysis and fundamental analysis, and then use any or both of them to develop their idea of a trading method that suits their personality. Scalpers open and close trades within minutes, while swing traders and trend followers might have open positions from hours to days. When you have your plan outlined, it is time to test it thoroughly to ensure it is profitable.

Step 2 — Back-testing and Forward-testing

Backtesting simply means checking if your plan would be profitable if traded on historical prices. Traders typically check charts for previous days and test the strategy’s performance. If the strategy shows some promising results, it can proceed to forward testing. Traders will have to open a demo account or free trial account provided by their prop trading firm. Free trial accounts and demo accounts allow traders to trade in live-market scenarios with virtual cash and test their strategies further. If the strategy is profitable during forward testing, then it can be used for a prop trading challenge.

Step 3 — Superior risk management

To succeed in prop trading or financial trading in general, traders need to exercise superior risk management measures. This is especially critical in prop trading, where traders have to follow prop firm risk rules. Risk management is part of the trading strategy. Traders should always use stop-loss orders, try to take profit positions as well, and write down all trading results in their trading journals.

Step 4 — Discipline and Psychology

Discipline is key in financial trading, including prop trading in a 5000 funded account. The most effective way to ensure successful trading on your 5k challenge account is to stick to your trading strategy. Executing the rules written down in your plan is the safest way to get funded and make profits. Trading psychology of thinking in terms of probabilities and other methods will help to maintain strong discipline in trading.

FAQs on prop firms with 5000 challenge accounts