Profit split
The percentage of profits the trader keeps when a payout is requested from a funded account.
Prop firms split funded-account profits between the trader and the firm. The most common structure: 100% to the trader on the first $X (typically $5,000–$10,000) earned, then 80/20 or 90/10 in the trader's favor thereafter. Some firms apply the split from dollar one.
Compare splits across firms, but don't optimize for the split alone — the rule set matters far more for whether you actually generate profits to split. A 90/10 split at a firm with brutal rules pays less than an 80/20 split at a firm where you can actually keep an account.
Related terms
- Funded account
A live trading account financed by a prop firm where the trader keeps a profit share while the firm absorbs losses against a defined drawdown rule.
- Account tier
The size category of a funded account at a prop firm — different tiers have different starting balances, drawdown limits, and rule sets.