Drawdown
The maximum your account may fall before it fails, measured either from your starting balance (static) or from your highest equity (trailing).
Maximum drawdown is the loss limit that ends an account. It comes in two kinds. A static drawdown is measured from your starting balance and never moves. A trailing drawdown follows your highest equity, so it tightens as you profit — protecting your gains but giving back less room once you are up.
Many firms apply a more forgiving rule during the evaluation and a standard trailing drawdown once funded. We show both phases for every firm so a differing funded rule reads as normal, not a surprise.
Firms to compare
Definition reviewed June 2026. Rules change often — confirm specifics on each firm’s own site.
← Back to the full glossary or the firm ranking.
