Prop Firm Monte Carlo Simulator
Run 500 simulations of your trading strategy against a prop firm challenge. See your real pass probability, P&L distribution and risk of ruin before you pay a single challenge fee.
Win rate (%)
Reward-to-risk ratio
Risk per trade (% of account)
Total trades in challenge
Profit target (%)
Drawdown rules (optional)
Daily drawdown limit (%)
Max drawdown limit (%)
Trades per day (for daily reset)
FAQs - Monte Carlo Simulator
Simulating pass probability, variance and risk of ruin before you buy a challenge.
A Monte Carlo simulation runs your trading strategy hundreds or thousands of times using random outcomes weighted by your win rate and R:R. Because markets are random, the same strategy can produce very different results across different sequences of trades. Running 500 simulations shows you the full range of possible outcomes - not just the average.
Even a profitable strategy with positive expected value can fail a prop firm challenge due to an unlucky sequence of losses hitting your drawdown limit before you reach the profit target. The Monte Carlo simulator shows you exactly how often this happens at your specific risk level and drawdown rules.
We recommend aiming for at least 60-70% pass probability before buying a challenge. Below 50% means you are statistically expected to fail more challenges than you pass, which means you will likely spend more in fees than you earn in payouts over time. Adjust your risk per trade or R:R to improve your odds.
The most effective ways to improve pass probability are: reduce risk per trade (smaller position sizes survive longer losing streaks), improve R:R ratio (taking larger winners relative to losers), increase win rate (refine your entry criteria), and choose a firm with a more generous daily drawdown limit relative to your risk per trade.
When set, the simulator resets your daily loss floor after the number of trades you specify per day, and tracks a separate hard floor for max drawdown from your starting balance. A trade that would breach either floor ends that simulation as a fail, even if your overall equity curve still looks healthy - this is what catches strategies that look fine on average but blow through daily limits.
The median (50th percentile) is the middle outcome across all simulations - half performed better, half worse. The 5th and 95th percentiles show your realistic worst-case and best-case range. A wide gap between the 5th and 95th percentile means your results are highly variance-dependent, even if the median and pass probability look good.
Each run uses a fresh set of 500 random simulations, so results will shift slightly each time you click run. Small shifts (a percentage point or two) are normal noise. If you see wildly different pass probabilities between runs, it usually means your inputs are placing you right on the edge between passing and failing - worth tightening your risk per trade for a safer margin.
Related guides
Guides that explain the rules this calculator models.
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FAQs - Prop Trading Questions Answered
Answers on prop firms, funded accounts, challenges and how our platform works
To save money on a funded trading account, traders can use verified prop firm discount codes available on Prop Firm Pal. By applying these promo codes during checkout, traders reduce the cost of evaluation challenges. Combining structured comparisons with active discounts helps traders choose competitive programs while lowering upfront costs.
Prop trading is generally legal in most countries, but the regulatory status of specific prop firms can vary. Some jurisdictions have introduced rules affecting how prop firms operate or market their services. Certain prop firms also restrict access to traders in specific countries. Prop Firm Pal includes restricted country information on individual firm pages so you can quickly check whether a firm is available to traders in your region.
Yes, most prop firms charge a one-time challenge fee to enter an evaluation program. This fee typically ranges from around $50 for smaller account sizes to several hundred dollars for larger funded accounts. The fee covers access to the evaluation environment. If you pass, some firms refund the challenge fee with your first payout. Firms offering free challenges are rare and often compensate by taking a larger profit split or applying stricter conditions.
The best prop firm for futures trading will offer access to CME or exchange-listed contracts, clear rules around leverage and contract limits, and a payout structure suitable for high-frequency or systematic futures strategies. Futures prop firms often operate differently from forex-focused ones, with different fee structures and account types. Prop Firm Pal includes futures-focused firms in its comparisons so you can evaluate which programs support your preferred instruments and trading approach.
Each prop firm page on Prop Firm Pal includes a detailed company overview, evaluation rules, profit targets, drawdown limits, profit split information, available account sizes, trading instruments, restricted countries, FAQs, and user reviews. We aim to provide everything a trader needs to evaluate a funded trading program in one place.
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