Recently, we received a private message from an overseas trader in the background.

He learned about EagleTrader through the Internet, but was not familiar with the concept of "proprietary trading" and did not know what the difference was between it and traditional real trading.

This also makes us realize that although proprietary trading has been paid attention to by more and more traders, concepts such as challenge, retracement, profit sharing, and consistency are still somewhat unfamiliar to those who are new to this model.

So this time, we’re not going to start with complicated rules and terminology.

Instead, would it be easier to understand by putting proprietary trading into a football club scenario that everyone is familiar with?

From "how to join the team", to "how to get the opportunity to play", to "what kind of performance can stay on the court for a long time", in fact, there are many similarities with the operating logic of self-operated trading.

Next, we will start with a "player" entering the club and understand step by step how proprietary trading works.

If you want to make the team, you must first prove that you can play

If a player wants to join a professional club, he usually needs to go through a trial first.

The club will not just listen to what he says about how well he played, but will really look at his ability, form and performance on the field.

The challenge (assessment) in proprietary trading is a bit like this trial training.

The platform will set profit targets and corresponding risk rules. Traders need to complete the targets according to their own trading methods without breaking through the prescribed risk boundaries.

There is a key point here: the assessment is not simply about who can make money faster.

Just like in a football trial, a coach will not judge a player's performance based solely on the number of goals scored, nor will a transaction assessment only look at the final return.

If the position is continuously enlarged in order to quickly achieve the profit target, once the maximum retracement or intraday retracement limit is reached, the assessment may still be terminated due to the triggering of risk control rules, even if a certain profit has been made before.

After getting the opportunity to play, discipline still exists

Passing the trial training means that the players get further opportunities to play.

In the traditional proprietary trading model, after traders complete the Challenge and meet relevant conditions, they will also enter the next stage of trading accounts.

At this time, the platform’s focus also began to change.

The previous profit target has been achieved, and what is more important next is whether you can continue trading while controlling risks within the rules.

This is just like after players officially enter the game roster, they still need to abide by the team's tactical arrangements and game discipline.

For proprietary trading, risk control requirements such as maximum drawdown and intraday drawdown are the “discipline red lines” in account operation.

Getting a chance to play doesn't mean the rules disappear.

One game cannot represent the entire season

In a football match, a wonderful long-range shot can easily become the highlight moment.The same goes for trading.

A trader may just catch a big market trend and obtain a very bright profit in one transaction. Such a result is certainly worthy of recognition.

But if most of the profits throughout the cycle come from this one, and the performance of other transactions fluctuates greatly, then it is difficult to judge whether this profit method is sustainable by just looking at the final profit.

This is what Profit Consistency is about.

It does not require making the same money every day, nor does it require every transaction to be profitable. It is more like a club observing a player's performance throughout the season.

Players can have games where they perform particularly well, and there can also be times when players are in average form.

What really matters is whether he can maintain a relatively stable performance throughout the season.

Only when the performance meets the requirements will the income distribution be entered.

When a player meets the appearance or performance conditions stipulated in the contract, the club will settle the salary or bonus in accordance with the agreement.

In proprietary trading, the equivalent is Profit Split.

When traders meet the profit sharing conditions stipulated by the platform, they can obtain corresponding income according to the agreed proportion.

Therefore, proprietary trading is not simply "the platform gives an account and traders make money", but a cooperation mechanism based on rules and trading performance.

The platform provides a trading environment and account rules, and traders execute transactions according to their own strategies; when relevant conditions are met, both parties will distribute income as agreed.

How is EagleTrader Max different?

Recently, EagleTrader has launched a new model Max mechanism. If the traditional model is like players going through several rounds of trial training and meeting the requirements before they can get a formal game opportunity, then Max shortens this path-let the players play first, and then use their actual performance in the game to prove themselves.

Corresponding to the transaction, there is no need to go through multiple rounds of profit target assessments, and you can directly enter the profit sharing stage of the transaction.

However, in order to obtain profit sharing, requirements such as number of transactions, profit consistency, Eagle score, account cycle, and drawdown control still need to be met.

Therefore, Max changes the way traders enter the "playing field" rather than the rules of the game itself.

Put the proprietary trading mechanism into the context of a football club, and many previously unfamiliar rules will become intuitive.

To put it simply, a proprietary trading platform is a cooperative relationship with traders, and how far traders can ultimately go depends on risk control, stable performance, and continuous execution.