Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
FTMO is one of the most well-known proprietary trading firms in the forex industry.
It attracts thousands of traders worldwide with the promise of trading large capital accounts and earning profit splits without risking personal funds.
But the big question remains:
Is FTMO legit or a scam?
In this in-depth FTMO review, we will examine how FTMO works, its evaluation process, rules, pros and cons, and whether it is worth your time as a forex trader.
What Is FTMO?
FTMO is a proprietary trading firm founded in 2015 and based in Europe. The company provides traders with funded accounts after they pass a two-step evaluation process. Traders trade using simulated capital but receive real payouts if they follow the rules and generate profits.
FTMO does not act as a broker. Instead, it partners with liquidity providers and focuses on trader performance and risk management.
How FTMO Works
Step 1: FTMO Challenge
This is the first evaluation phase.
Key rules:
Profit target: 10%
Maximum daily loss: 5%
Maximum overall loss: 10%
Time limit: 30 days
You must reach the profit target without breaking any rules.
Step 2: Verification Phase
This is easier and confirms consistency.
Key rules:
Profit target: 5%
Maximum daily loss: 5%
Maximum overall loss: 10%
Time limit: 60 days
Once passed, you receive a funded FTMO account.
I’ve written a full article about the mistakes that cost me money in my first year…
Account Sizes and Fees
FTMO offers multiple account sizes, including:$10,000$25,000$50,000$100,000$200,000
The evaluation fee depends on the account size. Good thing about FTMO is that the fee is refunded with your first profit split.
Profit Split
Default profit split: 80% trader / 20% FTMO. Can increase up to 90% with consistent performance
Payouts are made monthly and are reliable based on experience and user research reports.
Trading Conditions
Forex pairs, indices, commodities, crypto Competitive spreads,MT4, MT5, and cTrader platforms.
News trading allowed (with conditions)
Is FTMO Legit?
Yes, FTMO is widely considered legitimate.
Reasons:Operating since 2015 Thousands of verified payouts.
Strong risk management structure
Transparent rules
Global trader base
However, traders fail mainly due to poor risk management, not because FTMO is a scam.
Pros and Cons
Pros
High profit split
Large account sizes
Refundable evaluation fee
Excellent analytics dashboard
Strong reputation
Cons
Strict rules
Not beginner-friendly
Psychological pressure during evaluation
Who Should Use FTMO?FTMO is best suited for:
Disciplined traders
Traders with a proven strategy
Traders who respect drawdown rules
It is not ideal for beginners still learning risk control.
ForexCastle Verdict
FTMO is one of the most reputable prop firms in the forex industry. While the rules are strict, they are clear and fair. Traders who understand risk management and consistency can benefit greatly from FTMO.
FAQs
Is FTMO a broker?
No. FTMO is a proprietary trading firm, not a broker.Can beginners pass FTMO?Beginners can try, but most successful traders already have experience.
Does FTMO pay real money?
Yes. FTMO pays real profits to traders who follow the rules.
Rating: ⭐⭐⭐⭐☆ (4.5/5)
