Maximum Allocation Risk Per Position

Maximum allocation risk per position is a limit on how much of your account any single position is allowed to put at risk. It stops one trade from growing large enough to threaten the whole account in a single move. The exact cap varies by plan, so check the live figures on the Pricing page or open your own Accounts page.

What this rule means

Every challenge and funded account carries this cap alongside your daily loss limit, your maximum drawdown, your maximum position hold time, and your contract and position size limits. Together these rules keep the account alive. The allocation cap is the one that focuses specifically on a single position: it limits how much of your account balance that position can commit at once.

Because the number changes from plan to plan, the Trading Rules and the rule card on your Accounts page are the source of truth for the account you are actually trading.

Why it exists

The point of the evaluation is to show you can size trades responsibly and repeat that discipline over time. A single oversized position can erase days of good work, so the allocation cap keeps your risk spread out instead of concentrated in one bet. It works together with your other guardrails:

• Your daily loss limit caps how much you can lose in one day.
• Your maximum drawdown protects the account balance over time.
• Contract and position size limits cap how large a position can be.
• The allocation cap limits how much of the account any single position can commit.

Breaking a hard rule can fail or liquidate the account, so treat the allocation cap as a ceiling to stay well under, not a target to reach.

How to stay within it

• Size each position against your account rather than against a hunch. Smaller, repeatable positions keep you clear of the cap.
• Attach Take Profit and Stop Loss brackets from the close dialog on the Trade terminal to auto-exit at a chosen percent, dollar, or price level.
• Watch your open positions and live profit and loss as you add exposure, especially with multi leg options where several legs add up quickly.
• Review the rule card on your account before you scale into a trade.

For the exact allocation limit and every other rule on your plan, check your Accounts page and the Trading Rules. If a number on your account is unclear, email [email protected] and the team can walk you through it.