Evaluation Rules & Scaling Program

Outline of Trading Parameters

1. Active Trading Day Definition:
   A calendar day with closed trades.
2. Hedging Between Accounts:
   Defined as using two trading accounts to open opposing trades on the same instruments with identical lot sizes simultaneously.
3. Withdrawal Rules:
   The first withdrawal can only be requested 14 days after becoming a funded trader, and your account has profits greater than $100 USD available for withdrawal.
4. Feature Permissions:
   • “No” means a feature is not allowed under any circumstances.
   • “Yes” means a feature is allowed, subject to specific conditions.
5. Prohibited Trading Practices (Funded Account Stage):
   • Tick Scalping
   • High-Frequency Trading
   • Latency Arbitrage
   • Account Management
   • Reverse Arbitrage
   • Martingale Trading
   • Grid Trading
   • Data Feed Manipulation
   • Use of Delayed Data Feeds
   • Over exposure in any single instrument
   • Reverse Hedging
6. Minimum Position Duration (Funded Stage):
   Open positions must be held for at least 2 minutes to be valid.
7. Prohibited Gambling Trading Practices (Earning Account Stage):
   • Taking large positions
   • Overexposure
   • Position concentration
   • Hyperactive Trading
   • Chasing Losses (entering the opposite direction of a losing trade shortly after closing it)
8. Definition of Gambling Behaviour:
   Traders must maintain a disciplined, well-calculated approach and avoid excessively risky behaviour. Taking large positions using excessive leverage is not allowed. Suspected gambling behavior will be evaluated on a case-by-case basis. If a trader is found to be engaging in such behavior, it may result in a hard breach or the forfeiture of their account.Policies which may result in a breach of your account include:
   • Position concentration:
     Avoid placing trades predominantly in one direction without proper market analysis. Repeated high-volume trades on the same asset and direction within a short timeframe may be considered speculative and flagged as prohibited activity. Excessive Activity, Frequent, impulsive trading in a short time frame is discouraged. Focus on thoughtful, strategic trades that align with your risk management and long-term objectives.
   • Hyperactive Trading:
     Refrain from making too many trades in a short period or making impulsive decisions. Focus on well-considered trades that align with your long-term plans and risk tolerance.
   • Chasing Losses:
     Chasing losses refers to the practice of immediately entering a trade in the opposite direction of a losing position, often within a short time after closing the loss, with the hope of quickly recovering the previous losses. While this approach may appear to offer a fast recovery, it undermines the core principles of strategic decision-making and emotional discipline. More importantly, it disrupts the performance data we rely on to evaluate a trader’s consistency and risk management. This reactive strategy reflects emotional trading rather than calculated judgment, which can lead to further losses and compromises the integrity of the evaluation process. Instead, we expect traders to demonstrate composure, patience, and a well-reasoned approach—key traits that signal long-term trading discipline and capability.
9. Grid Trading Definition:
   A systematic strategy involving buy and sell orders at predetermined intervals (“grid” levels) around a set price level in margin forex trading.
10. Assessment Period and Criteria:
    • Two-Part Assessments: Meet Stage 1 requirements to proceed to Stage 2, then satisfy Stage 2 criteria to complete the evaluation program.
    • Three-Part Assessments: Meet Stage 1 requirements to proceed to Stage 2; Meet Stage 2 requirements to proceed to Stage 3; then satisfy Stage 3 criteria to complete the 3-Step evaluation program.
    • INSTANT Funding: All requirements must be met in a single stage or phase in the Earnex Express account.
    • Between stages and prior to payout, risk reviews may be applied to account.
11. Max Risk by Symbol %:
    All accounts in a funded stage will be reviewed for over exposure and if maximum risk exceeds 1% drawdown of the account balance in any single instrument traded, this can be deemed over exposure and result in a breach of the account for prohibited trading practices. Your account may be subject to a risk review in order to pass a stage or upon payout request.
12. Max Floating P&L:
    N/A: May be applied as an Equity Shield if the negative drawdown exceeds 2.5% of the account’s starting balance under certain conditions. This means that trades may be automatically closed if the trader reaches 2.5% of the static drawdown based on the account’s daily starting balance.
13. Inactivity Period:
    Maximum of 30 days without trading before the account is breached due to inactivity.

Earnex Scaling Program

The Earnex Scaling Program gradually increases simulated capital allocation for earning accounts based on performance and adherence to risk management rules.

Key Details:

• Eligibility:
  Earning accounts must generate at least 10% net profit over 2 consecutive months and must process at least 3 payouts in this period.
• Increments:
  Simulated capital increases by 40% every 2 months for eligible accounts.
• Profit Split:
  80%.
• Ongoing Growth:
  Increases if you are consistent and trading objectives are consistently met.
• Trading Terms:
  Objectives and restrictions remain the same as the original evaluation criteria, applied to the increased simulated balance.
• Maximum Account Size:
  $2 million per trader.

This program is designed to reward consistent performance and foster trader success with significant growth opportunities.

Earnex Copy Trading Program

• Trade Copiers are allowed in Earnex but approval from the Risk Department is required prior to use. You can only copy trades from other accounts in your own name.
• All trades in your copied accounts will be assessed separately by our Risk team to ensure all Risk parameters are met and your trading adheres to our Trading Rules and the respective Account Plan Rules.
• EA trading is permitted during evaluation and funded accounts. You must maintain our risk management parameters while using automated strategies.
• Upon successful completion of all evaluation stages, traders can receive funding after a risk review – simulated capital up to to their evaluation account size;
• Profit Split is 80% to trader; 20% to Earnex;
• To be eligible for the Copy Trading program, you must be recommended by our Risk Team, and you understand that you may be off-boarded at any time.