At PIP Traders Funding LLC, risk management is fundamental. We are committed to supporting traders who demonstrate discipline and responsible risk practices.
To maintain fairness and transparency, we apply two types of drawdown rules on Evaluations and SIM Funded Accounts : Overall Drawdown and Trailing Daily Drawdown.
By completing an evaluation (1-Step or 2-Steps) you become a Certified PIP Trader, meaning now you will have a SIM Funded Account which be subject to a 5% maximum trailing daily drawdown (EOD) and a 10% overall drawdown (static).
🔐 Overall Drawdown (Static)
The Overall Drawdown is static and based on your initial account balance. This threshold does not change and serves as a hard limit.
Here’s a breakdown of the drawdown limits during the evaluation phase:
📊 Overall Drawdown Limits (Evaluation)
Account Size | 1-Step Evaluation | 2-Step Evaluation (Per Phase) |
$10,000 | 8% = $800 | 10% = $1,000 |
$25,000 | 8% = $2,000 | 10% = $2,500 |
$100,000 | 8% = $8,000 | 10% = $10,000 |
$200,000 | 8% = $16,000 | 10% = $20,000 |
Example: In a 2-Step Evaluation with a $100,000 account, you must not fall below $90,000 in either phase. Breaching this level results in an account breach.
📆 Daily Drawdown (Trailing EOD)
The Daily Drawdown is trailing and calculated based on your end-of-day balance/equity (whichever is higher) from the previous trading day, recorded at 00:00 GMT+3 (platform time). Each new trading day, the limit is recalculated using the most recent closing balance.
🕒 Be sure to convert 00:00 GMT+3 to your local time zone to monitor drawdowns accurately.
Example:
If your balance/equity at 00:00 GMT+3 is $108,000 and your daily drawdown limit is 5%, your equity must not fall below $102,600 at any point during the day. If it does, your account will be breached.
✅ Summary
Evaluation Accounts:
Overall Drawdown: Static (see table above)
Daily Drawdown: Trailing, based on prior day’s EOD balance/equity (whichever is higher)
SIM Funded Accounts:
5% Daily Drawdown (Trailing EOD)
10% Overall Drawdown (Static)
Breaching either rule results in account termination (breach).
If you're unsure how drawdowns are being calculated on your account, don’t hesitate to contact our support team — we’re here to help.