Scalping
Both firms allow scalping, but the execution environment and risk limits differ significantly.
- Rules and Risk: BrightFunded allows scalping without specific time-per-trade restrictions. However, Funding Traders explicitly prohibits high-frequency trading (HFT), defined as trades lasting less than 15 seconds. Furthermore, Funding Traders applies a consistency rule where no single day's profit can exceed 50% of the total profit (or 15% for Instant Funding).
- Platforms: Scalpers at BrightFunded can choose between MT5, cTrader, and DXtrade, providing variety in depth of market tools. Funding Traders offers MT5 and TradeLocker.
- Cost and Leverage: BrightFunded offers higher leverage for Forex at 1:100 compared to Funding Traders' 1:50. This allows scalpers at BrightFunded to control larger positions with less margin. Both firms charge a $3/lot commission on Forex, though Funding Traders offers a "Zero Commission" add-on.
Swing Trading
Swing trading is well-supported by both firms, particularly regarding holding positions over time.
- Rules: Both BrightFunded and Funding Traders allow holding positions over the weekend and overnight across all asset classes, including Crypto. BrightFunded has a 30-day inactivity rule, while Funding Traders also enforces a 30-day limit from the day of purchase, not from the last trade.
- Risk: BrightFunded uses an EOD (End of Day) high-watermark for daily drawdown, which is more lenient for swing traders whose equity might fluctuate during the day. Funding Traders uses a daily drawdown based on the starting day's balance (for Pro accounts) or the higher of balance/equity (for Instant Funding).
- Cost: Both firms offer "Swap-Free" options as add-ons. This is essential for swing traders to avoid overnight interest charges that erode long-term profits.
News Trading
The approach to high-impact events is one of the biggest differentiators between these two firms.
- Rules: BrightFunded prohibits trading 5 minutes before and after high-impact news. This is a "soft breach," meaning only the profits from those trades are removed, but the account is not closed. Funding Traders allows news trading without restrictions during the Challenge phase, but in the Funded phase, news-influenced profits cannot exceed 30% of the total gain.
- Add-ons: Funding Traders offers a "Hold Through News" add-on (15% cost) specifically for Instant Funded accounts, which otherwise would face account termination for holding through red folder events.
- Cost Interaction: Traders who rely on news volatility might find BrightFunded’s soft breach policy safer, whereas Funding Traders’ 30% cap requires a more diversified strategy during the funded stage.
Automated Trading (EAs)
Systematic traders will find very different levels of freedom at these firms.
- Rules: BrightFunded allows the use of Expert Advisors (EAs) with few restrictions. Funding Traders is much stricter: EAs are permitted ONLY for risk management (calculators) or if they were personally developed by the trader. Commercial, "off-the-shelf" EAs downloaded or bought online are strictly prohibited at Funding Traders.
- Risk: Funding Traders requires that if you use an AI-generated EA, you must be able to explain the code and logic to their risk team. BrightFunded does not require this level of technical justification.
- Platforms: Both offer MT5, which is the industry standard for EA deployment.
Copy Trading
Copying trades is permitted but restricted to individual ownership.
- Rules: BrightFunded allows copy trading. Funding Traders allows copy trading between your own accounts or from your external broker accounts into their platform.
- Prohibitions: Both firms strictly prohibit copying trades from other traders or signal services. Funding Traders explicitly states that sharing signals with other traders will lead to account closure.
- Cost: There is no extra cost for this style, but it must be configured correctly within the platform (MT5) to avoid being flagged as coordinated manipulation.
Hedging
Hedging is generally restricted across both firms when used as a strategy to exploit the evaluation process.
- Rules: BrightFunded does not allow hedging. Funding Traders also lists hedging as a prohibited strategy, specifically banning hedging across multiple accounts.
- Alternative: Traders looking to hedge should instead focus on uncorrelated assets or use stop-losses to manage risk, as neither firm permits the simultaneous opening of buy and sell positions on the same instrument to "lock" a drawdown.
If you trade like this
- The EA Developer or News Trader: BrightFunded is the better choice. Their "soft breach" for news and open policy for EAs provide a safety net that Funding Traders lacks.
- The Instant Gratification Trader: Funding Traders is superior. Their Instant Funding accounts allow you to skip the evaluation entirely and start earning from day one, provided you follow their consistency and news restrictions.
- The High-Leverage Scalper: BrightFunded wins with 1:100 leverage on Forex and the availability of cTrader, which is often preferred for fast execution.
- The Profit Maximizer: Funding Traders offers the potential for a 100% profit split via add-ons, whereas BrightFunded caps out at 90%.
Frequently asked questions
Between BrightFunded and Funding Traders, which is cheaper for a $100,000 challenge?
BrightFunded is cheaper for a standard $100,000 evaluation, with both its 1-Step and 2-Step plans priced at $497. In comparison, Funding Traders charges $539 for its 1-Step and 2-Step Pro10 plans of the same size. However, Funding Traders offers a "Pro6" 2-Step option for $419, which is the lowest price point but comes with a tighter 6% maximum drawdown.
Which firm offers faster access to profits, BrightFunded or Funding Traders?
Funding Traders offers the fastest access through its Instant Funded accounts, which allow for a first payout only 7 days after the first trade. BrightFunded also offers a 7-day payout frequency as standard. While Funding Traders' Pro accounts default to a 21-day cycle, they offer an add-on to reduce this to 14 days, still making their Instant Funding the quickest route to withdrawal.
How do the EA restrictions differ between BrightFunded and Funding Traders?
BrightFunded allows the use of Expert Advisors (EAs) with standard rules against platform exploitation. Funding Traders is significantly more restrictive, banning all "off-the-shelf" or commercially purchased EAs. At Funding Traders, you may only use EAs for risk management or those you have personally coded and can explain in detail to their risk team.
Which firm is more lenient with news trading, BrightFunded or Funding Traders?
BrightFunded is more lenient because it treats news trading violations as a "soft breach," simply removing the profit from the specific trade rather than failing the account. Funding Traders allows news trading in the challenge phase but imposes a 30% profit cap in the funded phase for Pro accounts, and treats news trading as a "hard breach" (account termination) for Instant Funded accounts unless a specific add-on is purchased.
