What is a Free Funded Forex Account?
A free funded forex account is a trading account provided by a proprietary trading firm (prop firm) that allows traders to trade with the firm's capital instead of their own. Unlike regular forex accounts where traders deposit their own money, a free funded account gives access to a predefined amount of capital after passing a trading challenge or evaluation.
These accounts usually require traders to follow specific rules, such as profit targets, drawdown limits, and risk management guidelines. Profits made from trading are shared between the trader and the firm. While some firms offer a completely free evaluation, others may charge a refundable fee. In India, traders must be aware of RBI and SEBI regulations, which allow forex trading only in INR-based pairs through regulated brokers.
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