Overview
The scaling plan for the Knights Challenge allows funded traders to grow their simulated account size based on consistent performance, allowing them to increase their potential payouts over time by adding 25% of their initial demo account simulated balance to the balance of their Simulated funded account along with 90% payout splits. Another benefit is your simulated daily drawdown will change from 3% to 4% upon scaling.
Review Process
Simulated Funded accounts from the Knights Challenge are reviewed every 3 months. If a trader has been profitable for at least 2 out of the last 3 months with either (i) an average virtual return of 6% over the 3 month period or (ii) a 2% virtual return each month during the 3 month period, then they become eligible for an account size increase equal to 25% of their original account balance.
Account scaling happens automatically and will only be done and processed while awaiting a withdrawal since the account balance must equal the starting balance when an account is scaled.
Example 1:
Your payout date is on January 2nd, and your 3 months mark for scaling is on January 5th. Unfortunately, you're not eligible for scaling yet, but you will get scaled automatically on your following payout request.
Example 2:
Your payout date is on January 22nd, and your 3 months mark for scaling was on January 16th. Now you're eligible for scaling, and the payouts team will automatically scale your account as a result.
If you believe you were eligible for scaling at your last payout but didn't get scaled, please get in touch with our live support and fill out the account scaling form to review your case manually."
NOTE: The eligible scaling of your account will start from the date you place your first trade. Example: If you receive your Simulated Funded Account on April 1st, but the first trade isn't taken until April 3rd, your account will be reviewed for scaling on July 3rd.
Scaling Plan Example - Three 25% Increases
25% Increase #1
Initial simulated demo Account Balance: $100,000 simulated funds
25% Increase of Initial simulated demo Account Balance: $25,000 simulated funds
New simulated demo Account Balance: $125,000 simulated funds
25% Increase #2
Initial simulated demo Account Balance: $100,000 simulated funds
25% Increase of simulated demo Account Balance: $25,000 simulated funds
New simulated demo Account Balance: $150,000 simulated funds
25% Increase #3
Initial simulated demo Account Balance: $100,000 simulated funds
25% Increase of Initial simulated demo Account Balance: $25,000 simulated funds
New simulated demo Account Balance: $175,000 simulated funds
Simulated Daily Drawdown and Simulated Maximum Drawdown Scaling
The daily and maximum overall simulated drawdown amount will also be adjusted in accordance with new initial simulated funding balance. This means that when scaling takes place by 25%, the respective daily and maximum simulated drawdowns also scale by 25%.
For example: Once a $100K simulated funds Knights Account is scaled to $125K, the daily simulated drawdown will also be scaled from $3K (3% of 100K) to $5K (4% of 125K), and the overall simulated drawdown will change from $6K (6% of 100K) to $7.5K (6% of 125K). For more examples, please see the "Scaling Plan Drawdown Examples" below.
Maximum Simulated Funded Account Balance Potential
Traders must make two withdrawals during this 3 month period. The Funded Trader allows these 25% account increases to take the sum of a trader's virtual demo account balances all the way up to $1.5M simulated funds.
For example, if you have two $200k simulated accounts, you can scale each of them to $750k simulated funds, which is a total of simulated Funds $1.5M and equal to the maximum allowed through the scaling plan.
Increased Simulated Profit Split
We're also excited to share that traders are also eligible for 90% payouts once they qualify for the scaling plan!
Note: A profit split means you are paid based on data which is measured by simulated profit.