Best Prop Trading Firms for Beginners in 2026
A Complete Comparison Guide
Are you new to trading and considering joining a proprietary trading firm (prop firm) to accelerate your trading career with funded capital? Choosing the right trading firm can be overwhelming, especially for beginners. In this guide, we’ll break down the best prop trading firms for beginners in 2026, comparing their features, funding models, rules, support, and overall beginner-friendliness.
If you are still unsure a prop firm is check our guide. What is a prop firm?
Key Benefits for Beginners:
- No risk of losing your own money
- Access to larger capital ( $10,000 – $500.000 )
- Structured learning environments
- Rule based trading and risk limits
- Performance-based scaling
Top 5 Best Prop Trading Firms for Beginners in 2026
Below are the most beginner-friendly prop firms based on ease of entry, transparent rules, supportive platforms, and overall reputation.
1. Alpha Capital
Alpha Capital is one of the best prop trading firms you can start with. It has grown in reputation and passing the challenge it is a bit easier that FTMO due to its 8% first target.
Why it is for beginners
- Simple evaluation process
- Affordable entry fees
- Rapid funding options (1-phase program)
- Offers educational content
Key features
- Funding sizes: $5,000 – $200,000
- Challenge type: 1-step and 2-step
- Profit split: Up to 85%
- Max drawdown: 10%
- Daily drawdown: 5%
- Platforms: MT4, MT5, TradingView integration coming soon
- Payouts: Bi-weekly (after the first 30 days)
- Price: From $77 for $5k challenge
2. FTMO – The Gold Standard for Beginners
FTMO is one of the most reputable prop trading firms globally and is a great place for beginners thanks to its structure, support, and educational tools.
Why it is for beginners
- Excellent educational academy and webinars
- Risk-free trial (free demo challenge)
- Flexible trading style (scalping, swing, EA allowed)
- Once you are funded you get regular performance support
Key features
- Funding sizes: $6,000 – $200,000 (scalable to $4M+)
- Challenge type: Evaluation ( 10% phase 1, 5% phase 2)
- Profit split: 80% up to 90% when scaling
- Max drawdown: 10%
- Platforms: MT4, MT5
- Payouts: Monthly
- Price: Evaluation starts at $89 for $10k challenge
3. The 5%ers – Instant Funding & Low Risk
The 5%ers are perfect for risk-averse beginners who prefer instant funding and low drawdown.
Why it is for beginners
- Slow scaling plan focus on risk managment
- Low leverage = lower risk
- Long-term growth programs
Key features
- Funding sizes: $6,000 – $100,000 (scalable to $4M+)
- Challenge type: Bootcamp, Hypergrowth (1-phase), Highstakes ( 2-phase)
- Profit split: 80% – 100% (depending on program)
- Max drawdown: 4% – 6%
- Platforms: MT5
- Payouts: Monthly
- Price: Bootcamp starts at $95
4. FundedNext – High Profit Split & Unique Models
FundedNext is relatively new but offers highly competitive conditions and even gives you profit sharing during the challenge phase (this a rare feature).
Why it is for beginners
- Up to 15% profit share during the evaluation
- Offers both evaluation and instant funding models
- User-friendly dashboard with trade analytics
Key features
- Funding sizes: $6,000 – $200,000
- Challenge type: Evaluation, Express (instant funding)
- Profit split: Up to 90%
- Max drawdown: 10%
- Daily drawdown: 5%
- Platforms: MT4, MT5, TradingView, MatchTrader
- Payouts: Bi-weekly
- Price: Starts at $59 for $6k challenge
5. E8 – Very affordable and with great flexibility
E8 offers the best flexibility regarding choosing your risk parameters, also you can choose your profit split between 80%, 90% and 100% with very competitive conditions.
Why it is for beginners
- Simple evaluation process
- Affordable entry fees
- Rapid funding options (1-phase program)
- Offers educational content
Key features
- Funding sizes: $5,000 – $200,000
- Challenge type: 1-step and 2-step
- Profit split: Up to 85%
- Max drawdown: 10%
- Daily drawdown: 5%
- Platforms: MT4, MT5, TradingView integration coming soon
- Payouts: Bi-weekly (after the first 30 days)
- Price: From $77 for $5k challenge
What makes a Prop Trading Firm beginner-friendly?
Here’s a checklist of characteristics that make a prop trading firm ideal for new prop traders:
Why It matters for beginners
- Low Entry Cost: Reduces the barrier to try out trading with funding
- Clear Rules: Avoids confusion and accidental violations
- Reasonable Drawdown Limits: Allows mistakes without instant disqualification
- Educational Support: Helps build proper trading psychology and skills
- Trial/Free Evaluation: Lets you test the challenge format before paying
- Community & Support: Beginner questions answered quickly through Discord or chat
Comparison Table: Best Prop Trading Firms for Beginners
Item | Alpha Capital | FTMO | The 5%ers | FundedNext |
Maximum funding | $400.000 (scalable) | $400.000 (scalable) | $615.000 | $300.000 |
Profit split | Up to 90% | Up to 90% | 75%-90% | Up to 95% |
Max Drawdown | 10% | 10% | 10% | 10% |
Min Funding | $5.000 | $10.000 | $25.000 | $6.000 |
Trial Option | No | Yes | No | Yes |
Price Smaller Account | $77 | $89 | $95 | $59 |
Final Thoughts: Which Prop Firm Should a Beginner Choose?
If you’re just getting started, here’s a quick recommendation based on your style:
- For forex traders wanting strong support: Go with FTMO
- For lowest cost and quick funding: Try MyForexFunds or FundedNext
- For low-risk, instant access: Choose The 5%ers
- For futures trading: Start with TopStep
All of these firms offer realistic paths to funded trading with limited risk to your own capital. It’s important to read the fine print and choose a firm that aligns with your trading style, time availability, and experience level.
Tips for Succeeding With Prop Firms as a Beginner
- Start small – Begin with a smaller challenge to get familiar.
- Read the rules – Violating rules (like hitting daily drawdown) leads to failure.
- Stick to one strategy – Don’t jump between strategies during the challenge.
- Use a trading journal – Track your trades and learn from mistakes.
- Practice first – Many firms offer demo accounts to practice evaluation conditions.