Prop Firm Scoring Methodology

How We Compare and Score Prop Firms

This page explains in detail how we calculate the score of each prop firm with our prop firm scoring methodology. Choosing the right proprietary trading firm can be overwhelming. With dozens of firms offering funded accounts, different challenge rules, payout systems, and risk limits, it’s easy to miss critical details that directly affect profitability and trader success.

At Prop Firms Compare, we use a transparent, data-driven scoring methodology to objectively evaluate and rank prop trading firms. Every firm is analysed using the same criteria, weighted by real trader impact with not marketing hype.

Our goal is simple:
👉 Help traders make informed decisions by comparing prop firms fairly, consistently, and objectively.

Our Prop Firm Comparison Methodology

Each prop firm listed on our website is evaluated using a 100-point scoring system. The score is based on seven core categories that reflect what actually matters to traders in real-world trading conditions.

We focus on:

• Risk management rules
• Trading flexibility
• Payout reliability
• Cost vs value
• Platform quality
• Transparency and reputation

All firms are scored using the same framework to ensure fair, apples-to-apples comparisons.

Data Sources and Rule Verification

Accuracy is critical when comparing proprietary trading firms.

Where Our Data Comes From

We collect and verify data from multiple sources, including:

• Official prop firm websites
• Terms & conditions and rule documents
• Public FAQs and dashboards
• Platform documentation (MT4, MT5, cTrader, TradeLocker, etc.)
• Verified trader feedback and industry reputation

Rule Verification Process

Every rule is manually reviewed to identify:

• Hidden restrictions
• Inconsistent wording
• Conflicting rules between marketing pages and legal documents
• Rule changes that may impact traders

If a rule is unclear or contradictory, we penalise the firm’s score under transparency and trading rules.

Scoring Criteria Explained

Each prop firm receives points across seven weighted categories, for a total possible score of 100 points.

Scoring Weights Overview

Category Breakdown

1. Drawdown & Risk Rules (25 Points)

This is the most heavily weighted category because risk rules directly determine whether traders survive long enough to get paid.

We evaluate:

• Maximum drawdown type (static vs trailing)
• Daily drawdown limits
• Equity vs balance-based rules
• Consistency and fairness of risk calculations
• How drawdown behaves after profits

Firms with trader-friendly drawdown rules score significantly higher than those with aggressive or restrictive risk models.

2. Trading Rules & Restrictions (15 Points)

This category measures how freely traders can trade.

We assess:

• News trading restrictions
• Weekend holding rules
• Time-based trading limits
• Minimum trading days
• Lot size or strategy limitations
• Use of EAs, copy trading, or algorithmic strategies

The fewer unnecessary restrictions, the higher the score.

3. Payout System & Reliability (20 Points)

A funded account is worthless if payouts are delayed, denied, or inconsistent.

We analyse:

• Payout frequency and minimum thresholds
• Profit split percentages
• Payout processing time
• Payment methods
• Documented payout complaints or delays
• Scaling plan reliability

Firms with fast, consistent payouts and proven payment history score highest.

4. Challenge Fairness (15 Points)

This category focuses on how realistic and achievable the evaluation process is.

We review:

• Profit targets vs allowed drawdown
• Number of challenge phases
• Time limits (or lack thereof)
• Reset and retry policies
• Pressure created by unrealistic targets

Fair challenges that reflect real trading conditions score higher than aggressive, failure-prone models.

5. Cost vs Risk Value (10 Points)

We assess whether the challenge fee matches the risk and opportunity provided.

Factors include:

• Entry cost vs account size
• Refund policies
• Risk-to-reward ratio
• Value compared to similar firms

High fees combined with strict rules result in lower scores.

6. Platform, Execution & Technology (10 Points)

Execution quality matters, especially for active traders.

We evaluate:

• Supported platforms (MT4, MT5, cTrader, TradeLocker)
• Execution speed and slippage reports
• Server stability
• Available instruments
• Account dashboard usability

Modern, stable platforms with multiple options score higher.

7. Transparency & Reputation (5 Points)

This category reflects trust and long-term credibility.

We consider:

• Company transparency and ownership disclosure
• Clear rule explanations
• History of rule changes
• Trader reputation and industry standing
• Public communication quality

Firms with unclear ownership or frequent unexplained rule changes are penalised.

Final Score and Rankings

Each category score is combined into a final score out of 100.
This score is used to rank prop firms across:

• Comparison tables
• “Best Prop Firms” lists
• Head-to-head comparisons
• Individual prop firm reviews

Higher scores indicate more trader-friendly conditions, better reliability, and stronger overall value.

Regular Updates and Continuous Monitoring

The prop trading industry changes fast rules, prices, and platforms evolve constantly.

How Often We Update Data

• Weekly data checks on all listed prop firms
• Immediate updates after major rule changes
• Continuous monitoring of payouts and trader feedback

If a prop firm changes its rules, pricing, or payout system, the score is updated accordingly.

Our Commitment to Fair and Unbiased Comparisons

Our scoring methodology is designed to be:

• Transparent
• Consistent
• Trader-focused

Affiliate relationships do not influence scores. Firms are ranked solely on their trading conditions, reliability, and value to traders following our prop firm scoring methodology.