Before you can trade for FTMO, we need to see how you can manage risk. Because of this, we have developed Trading Objectives. There are four basic Trading Objectives you need to know to become an FTMO Trader and trade up to $200,000 on your FTMO Account. The fourth rule is called Profit Target.
Profit Target is one of the special Trading Objectives of our Evaluation Process. In order to successfully complete this Trading Objective, you will need to prove that you can steadily grow your trading account from the chosen initial balance. During the FTMO Challenge in the Normal risk account, the Profit Target is set to 10% of the initial balance, while in the Aggressive risk account the Profit Target is increased to 20%. In the Verification stage, the Profit Target is always reduced to 50% compared to the first stage (5% in the Normal risk account and 10% in the Aggressive risk account).
A profit target means that a trader reaches a profit in the sum of closed positions on the assigned trading account anytime within the unlimited Trading Period. Be reminded that in order to secure the Profit Target, all of your positions must be closed. For example, during a $100K FTMO Challenge with the Normal risk setup, you would need to have a final balance of $110,000 in order to successfully meet this Trading Objective. In the Verification stage, your final balance would need to be at least $105,000
The Profit Target is present only in the Evaluation Process. Once you pass the Verification and start trading on the FTMO Account, we want you to trade as comfortable as possible, and therefore there is no longer any Profit Target whatsoever.