What is the Maximum Drawdown on Instant Funding?

The short answer: the maximum drawdown on Instant Funding is 6%, and it works on a trailing basis – your loss floor rises as your balance grows. However, once you hit 6% profit from your initial balance, the trailing stops and the floor locks permanently at your initial balance.

How the trailing works

Your loss floor always sits 6% below your highest recorded balance. As your balance climbs, the floor climbs with it.

On a $100,000 account: starting floor is $94,000. You grow to $105,000 – floor moves to $99,000. Your equity must not drop below $99,000 or the account is closed.

The lock mechanic

Once your account reaches 6% profit from the initial balance – meaning your balance hits $106,000 on a $100,000 account – the trailing stops. The floor locks permanently at $100,000, your initial balance. It doesn't matter how high your account grows after that. The breach level stays at $100,000.

This is the most important rule to understand on Instant Funding. Once you've hit 6% profit, you're essentially trading with a static floor at your starting balance – you cannot lose back to zero.

What's included in the drawdown calculation?

Everything – closed positions, floating unrealised P&L, swap fees, and commissions. Your equity is checked in real time, not just at end of day.

Example in full

• $100,000 account. Starting floor: $94,000.
• Balance grows to $103,000 → floor trails to $97,000
• Balance grows to $106,000 → 6% profit threshold crossed → floor locks at $100,000
• Balance grows to $120,000 → floor stays at $100,000
• Equity drops to $99,500 → account breached