What is Sim-to-Fund Trading? A Beginner's Guide to Evaluation-Based Prop Firms
How Evaluation-Based Prop Firms Work and What Makes Vanquish Different
Many traders dream of managing large trading accounts, but few have the personal capital or risk tolerance to do it on their own. Sim-to-fund trading (also known as evaluation-based proprietary trading) bridges that gap. It allows traders to prove their skills in a simulated environment and, if successful, earn the right to manage real funds under a proprietary trading firm.
In this guide, we’ll explore how sim-to-fund programs work across the industry, the standards most prop firms follow, and how Vanquish Trader stands out with a structure designed for flexibility, transparency, and trader empowerment.
What Is Sim-to-Fund Trading?
Sim-to-fund trading is a model used by proprietary trading firms to evaluate traders before granting them access to live capital. It begins with a simulated trading account, where the trader’s performance is monitored according to defined rules such as profit targets, drawdown limits, and consistency requirements.
Key Industry Standards:
Profit Targets: Typically range between 6%–10% of starting balance.
Drawdown Limits: Generally 3%–5%, often with trailing or static systems.
Time Limits: Many firms impose 30–60 day deadlines to complete evaluations.
Consistency Rules: Some require diversified trading, though enforcement varies.
Daily Loss Limits: Common among major prop firms to curb short-term risk.
Payout Caps: Many firms limit the maximum payout percentage or amount.
Activation Fees: Some firms charge one-time onboarding or activation fees before funded trading.
The Vanquish Approach:
Vanquish Trader follows these industry principles but removes restrictive policies to give traders greater freedom and transparency:
No Time Limits – Traders can take as long as needed to pass evaluations.
No Daily Loss Limit – Encourages realistic, long-term risk management.
No Payout Caps – Traders keep 100% of their earned profits.
Daily Payouts – Eligible traders can request payouts every trading day.
No Activation Fee – No upfront or hidden fees before funding.
Based in the United States – Ensures regulatory transparency and accessibility.
Unlimited Resets – Allows traders to restart evaluations at any time.
Live Market Data – Ensures real-world trading conditions during evaluation.Vanquish Trader follows these industry principles but with more trader-friendly flexibility:
No Time Limits – Traders can take as long as needed to pass evaluations.
No Daily Loss Limit – Encourages realistic, long-term risk management.
Unlimited Resets – Allows traders to restart evaluations at any time.
Live Market Data – Ensures real-world trading conditions during evaluation.
This combination creates a fair and supportive environment where traders can focus on discipline and consistency rather than racing against the clock.
How Evaluation-Based Prop Firms Work
Most prop firms follow a tiered model: evaluation, verification, and funding. Vanquish simplifies this process into a single-step evaluation with clear performance metrics.
1. The Evaluation Phase
Traders begin with a simulated account designed to mirror live market conditions. Each Vanquish plan has distinct requirements:
Each plan, except the Advanced Options Plan, uses trailing drawdown limits, which adjust with account growth to protect gains while testing consistency.
2. Passing the Evaluation
To qualify, traders must meet their profit target without breaching drawdown rules. For instance, a $50,000 Basic Options account requires a 10% profit ($5,000) while maintaining no more than a 5% drawdown ($2,500). Once traders pass, they receive a Performance Account and a certificate of accomplishment.
3. Funded Trading (Performance Account)
After passing the evaluation, traders move to a Performance Account, where real payouts become available. There are no ongoing profit targets, only rules for consistency and risk management.
How Vanquish Adds Value
Vanquish’s structure aligns with industry best practices but removes the most restrictive aspects of traditional prop firm models. Here’s where Vanquish distinguishes itself:
1. True Flexibility
Unlike many firms with strict time constraints, Vanquish allows unlimited time for completion. Traders can focus on steady, consistent performance rather than rushing to meet deadlines.
2. No Daily Loss Limits
Most prop firms impose daily drawdown restrictions that can disable an account after a single bad day. Vanquish replaces this with total drawdown rules, giving traders more control and autonomy.
3. Transparent, Realistic Rules
Vanquish avoids complex multi-step challenges. Its rules mirror real trading conditions, offering trailing drawdowns and realistic risk thresholds that emphasize sustainability.
4. Unlimited Resets
If a trader breaches the rules, they can purchase a reset instantly and start fresh—no penalties or waiting periods. This encourages continued growth and learning.
5. Clear Path to Payouts
Once funded, traders can request payouts through RiseWorks with as little as $250 in profits. Payouts are processed within 24–48 hours, and traders keep 100% of their profits.
Common Challenges Traders Face in Sim-to-Fund Programs
Even with a supportive structure, traders must overcome key challenges:
Psychological Pressure: Simulated accounts feel real because performance is measured.
Overtrading: Rushing to meet targets often leads to poor decision-making.
Discipline: Consistency and risk management matter more than short-term profits.Vanquish’s no-time-limit approach and absence of daily loss rules help traders focus on developing professional habits rather than emotional reactions.
Ethical Standards and Prohibited Behaviors
To ensure a fair simulated environment, Vanquish prohibits exploitive or unrealistic trading practices, such as:
Exploiting platform errors or latency.
Using insider or non-public information.
Micro-scalping unrealistic liquidity or spreads.
Account sharing or automation that violates platform policies.Traders found violating these terms face account suspension and permanent bans, aligning Vanquish’s standards with real-market ethics and compliance norms.
Industry Comparison: Why Vanquish Stands Out
Vanquish’s model focuses on accessibility and trader development rather than challenge completion speed. It creates a realistic and fair path to trading larger capital with fewer artificial barriers.
Start Your Path to Funded Trading
Sim-to-fund trading offers a unique opportunity for traders to transition from practice to performance—demonstrating discipline, consistency, and skill without risking personal capital. Vanquish Trader elevates this model by removing restrictive time limits, ensuring transparent rules, and giving traders the freedom to trade responsibly and sustainably.
For traders seeking a fair, flexible, and transparent route to professional-level trading, Vanquish Trader offers one of the most accessible evaluation structures in the industry.
Explore your options today and take the first step toward becoming a funded trader.