Trading rules
How does the risk-to-reward policy work?
Negative risk to reward uses the furthest stop distance. On all account types, 60% or more negative-risk-to-reward positions causes payout rejection and an account breach, regardless of the group’s P&L.
How risk to reward is measured
A position is negative risk-to-reward when its risk distance is greater than its reward distance.
- Risk: distance from entry to the furthest stop loss used at any point while the position was open.
- Reward: distance from entry to the close price.
The furthest stop is always used. Moving it to breakeven, tightening it or closing at a later stop does not erase the earlier risk distance. A full stop-out is not negative risk-to-reward when its closing distance equals the furthest stop distance.
For example, a EURUSD entry at 1.0850, furthest stop at 1.0750 and close at 1.0870 has 100 pips risk against 20 pips reward.
Partial closes and missing stops
Partial closes are permitted when they are not used to manipulate this assessment. Profits and losses from partial closes, winners and losers are included in the group's combined P&L. Using a partial close and moving the stop to the current market price to force a stop-profit result and manipulate the rule is penalised.
Trades that never had a stop are excluded from this assessment but breach the separate stop-loss requirement. For the treatment of a specific set of partial exits, contact support with the position and execution records.
The 60% count threshold
On every account type, if 60% or more of the assessed positions are negative risk-to-reward, the payout is rejected and the account is breached regardless of the group's P&L. Exactly 60% is included.
For example, 12 out of 20 assessed positions is 60%; 13 out of 20 is 65%. Both reach the breach threshold. The counts in these examples are already classified for review.
When fewer than 60% are negative risk to reward
Combine the profits and losses from the negative-risk-to-reward group. Any positive net result is deducted after the profit split, from the trader's payout share.
For example, 9 out of 20 assessed positions is 45%. If that group nets +$620, $620 is deducted from the payout share. This is not an exemption from other trading or payout rules.
How the 60% position count works
Use this only after the positions have been classified under the applicable policy.
Example: EURUSD entry 1.0850, furthest stop 1.0750 = 100 pips of risk. Close 1.0870 = 20 pips of distance from entry. Moving the stop later does not erase the furthest-stop history.
These twenty positions are already classified. Partial closes, winners and losers count towards combined P&L. This illustrates an already-classified count; it does not classify positions or determine how partial exits are counted.
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