The 1% Risk Limit Rule does not apply to all traders by default. It is specifically enforced for traders who demonstrate high-risk or impulsive trading behaviour, such as:

• High-risk exposure: Using excessive lot sizes or risking a large portion of the account on one or multiple trades.
• Impulsive trading: Entering random or emotionally driven trades without a clear plan or strategy.
• Unsustainable behaviour: Relying on luck or one-off big trades instead of a repeatable, structured trading system.

Our risk management team reviews each trader’s performance history before applying this rule. If the 1% Risk Limit is enforced on your account:

• You will be notified via email, and
• The rule will apply only to the specific account mentioned in that communication.

Until you receive such a notification, following the 1% risk limit is strongly recommended but not mandatory for Evaluation (1-Step and 2-Step) programs.

Important clarification

• For Instant Funding accounts, the 1% Risk Limit Rule is standard and always applies.

The explanation above relates to how the 1% rule may be additionally enforced on 1-Step and 2-Step evaluation programs for traders who exhibit high-risk or impulsive trading patterns.