Program Terms

Program details

All information provided on this page is subject to the Terms of Use and in case of any contradiction the Terms of Use will prevail.

Basics and Prerequisites

Purpose and Goals

Trade The Pool is centered around enabling and growing consistently profitable stock traders.

The funding programs, including the passing criteria for the evaluation phase and the general trading requirements, are designed to allow the maximum flexibility for the trader while fitting with TTP’s risk management requirements. While some rules may seem arbitrary from the standpoint of the individual trader, they are set up to protect the funding pool for all traders against even “edge cases” or “perfect storms”.

TTP welcomes feedback and continually evaluates efficacy of the rules along with overall trader performance; however, at the end of the day it is the User’s responsibility to adapt strategy and trading style to the specific rules as currently defined. This is what allows TTP to offer these opportunities to traders.

Document Structure and Interpretation

This document is intended to allow the User to understand the structure of the overall framework and specific funding programs, along with the spirit and letter of individual rules.

While every effort has been made to make the purpose and intent of the rules clear, the rules themselves are what matters.

This document contains 2 kinds of information:

normative content is prescriptive, providing rules and requirements which must be followed
non-normative content (also called “informative content”) provides background, examples, notes, and other information

Because examples are specific rather than general, they may not illustrate all aspects or be the only way to approach a given situation. Therefore all examples are non-normative, and the wording of the rule itself always takes precedence.

Knowledge Prerequisites

Capital markets in general, and stock markets in particular, are a lifelong pursuit to understand. However, some basic knowledge is essential and the User should always seek to improve knowledge throughout a trading career, to avoid surprises and have a better understanding of events.

It is the User’s responsibility to understand basic trading concepts, the unique characteristics of stock markets, and the specific venue and platform used by TTP.

Specifically, with regards to trading, the User must fully familiarize themselves with the following terms and implications of the following terms: Market Hours, Economic Releases, Spreads, Commission, Slippage, Variable Spread Conditions, Volatility, Cents, Point Value, Share Size, Stop Loss, Quantity, Take Profit, Market Order, Stop Order, Limit Order, Ask, Bid, Risk Per Day, Pump and Dump Risk, Drawdown, Daily loss.

Requirement Levels

The key words “must“, “must not“,
“required“, “shall“, “shall
not“, “should“, “should not“,
“recommended“, “may“, and
“optional” in this document are to be interpreted as
described in
RFC 2119.

Trading Platform

Trade The Pool provides a trading platform based on TraderEvolution. While all Users are encouraged to take advantage of the vendor manual, the TTP system has been customized and packaged for its Users, and some features may have been added, customized, or removed. Accordingly TTP’s own documentation is critical especially in terms of using the platform in compliance with the program terms.

Several interfaces and client software packages are available to Users on this trading platform. The Windows desktop client is the flagship and offers the most functionality. At this time, the Company also provides access to mobile clients for Android and iOS, plus the Web-based client for support on a wide variety of systems and devices.

The Company may change its suppliers and systems to any other solution and technology, at any time.

Core Program Framework

By joining the Program after passing the Evaluation stage, the User is receiving a Level 1 Funded account, in which the User is expected to demonstrate a profitable trading performance.

Besides these general rules and principles, see also the sections Trading Scope and Detailed Rules and Additional Parameters to understand all restrictions and allowances.

Account Stages

This describes the general process; details of specific funding programs and account types are detailed in the subsection Account-Specific Parameters and Special Programs.

Evaluation

In order to become a funded User, the User must:

Reach the program profit target
Do at least the minimum number of positions (following your trading strategy)
Show a consistent track record of attempting to follow all consistency and other rules (see also the volume and other rules later in this document).

Funded Account

Once you are funded, every time you reach your scaling target we will increase your Buying Power and Daily Pause.

Volatility Rules

Actively trading is not permitted during an applicable trading halt.
- An applicable trading halt consists of any of the following:
  - A trading pause, for any reason, on the specific symbol
  - A market-wide circuit breaker or any other exchange- or market-wide trading outage
  - Any condition disrupting a fair and orderly market, on a given symbol or the market as a whole, which may be declared in advance or at the time by TTP it its sole judgment at its sole discretion
  - Any condition causing the trading system to display a symbol as untradeable
- For the purposes of this section, each symbol affected by such a halt is designated a halted symbol and a position (actual or potential) on any such symbol is designated a halted position.
- For the purposes of this section, actively trading consists of any of the following:
  - The execution of any order on a halted symbol
    (Note: Execution of such orders during a technically implemented halt is generally impossible but, in the event the system inadvertantly purports to record such execution, TTP reserves the right to reverse or delete the trade in question)
  - Placing an order to open or add to a halted position
If a halt has occurred, once trading is resumed, a trader must wait 1 minute before opening a new trade/position.
- There are no exceptions to this rule.
An automatic halt will take place after the asset moved 10% within 5 regular trading minutes.
Opening or adding to a position is not allowed on a symbol that has made an 8% move within 4 regular trading minutes (the volatility measurement period, described in more detail below).
- This rule applies regardless of whether any halt is in fact imposed on the asset.
- The volatility measurement period comprises the last 240.0 regular trading seconds on a rolling basis (at the point of entering the trade), limited to the current trading session, and excluding:
  - any halt period for the symbol
  - extended trading hours
- Specifically, it is prohibited to open or add at a price
  - greater than or equal to 1.08 times the lowest execution price; or
  - less than or equal to 0.92 times the highest execution price
  within the volatility measurement period, according to the execution prices as shown in the trading platform.
  
  Note: Doing so on a pullback within the 8% move is allowed; provided, however, that the range given by this calculation must not be violated.
- The $5k MAX/FLEX and Mini BP Limited Edition programs are temporarily excluded from this rule. This exclusion serves as a beta test for the rule’s implementation, meaning adjustments may be made based on outcomes and feedback over time.

Consistency/Validity Rules

The maximum position profit ratio is 30% unless otherwise specified; that is, the User’s best position cannot be responsible for more than 30% (or the relevant ratio) of the total valid profit earned. This applies to all evaluations, and to payouts and scaling from those funded accounts with this rule.
- For evaluation accounts, the User should close each position via pending limit orders or other appropriate mechanisms prior to this amount, relative to the profit target (original or adjusted; see below).
  - Note: This is ideal, because it demonstrates the discipline the Company is looking for and makes the evaluation easier for the User, but not required.
- The User must earn sufficient overall profit so that this ratio is not exceeded by any retained position relative to overall profit, regardless of whether any position profit exceeds the ratio relative to the profit target.
  - The lowest profit amount which allows this condition to be satisfied for all valid trades is the adjusted profit target.
- The Company may provide the User the opportunity to eliminate all profit from a position whose profit exceeds this threshold, allowing the User to continue working toward the original profit target.
- Upon reaching the original profit target, the User may appeal this requirement for any positions affected by unforseen gaps such as between sessions and over halts. The Company has no obligation to hear or grant any such appeal.
Some account types (see Detailed Rules and Additional Parameters) impose a requirement of a minimum number of profitable days in a payout cycle.
In order for profit from any position to be counted, the following distance and duration requirements must be met:
- Each position must yield at least 10 price ticks of profit (that is, 10.0 cents difference between average entry and average exit price).Example: Buy at $50.10, sell at $50.20 (at least).
- There must be at least a 60.0-second range (except otherwise specified, including 30.0 seconds for MAX/FLEX) between each opening/adding execution and the next subsequent closing/reducing execution over the lifetime of that position.
Note: All rules corresponding to “positions” apply to any profit from the entire lifetime of any position (i.e., from the opening trade until completely “flat” again).

Incorporating Risk Management

Trade The Pool encourages its Users to perform their trading with a suggested risk management discipline.

Risk management is mandatory. Deciding to self-enforce the Program’s suggested risk management will benefit the User with better funding conditions on future stages of the Program, as described in this document, in chapter IDEAL RISK MANAGEMENT REQUIREMENTS.

Trading conditions for a Funded account may be different from an evaluation account due our trading partner’s requirements LPs (such as Interactive Brokers, Saxo Bank and more) terms.

Some assets that will be available for short trading during the evaluation account, might not be available on the Funded account.

Payouts

The Fund pays its trader an agreed portion of the net profits on request, a minimum of 14 days since the last payout (or, for the first payout on a given account, since beginning funded trading or the creation of a newly scaled account). Payouts will be paid only to a funded User who has a balance of $300.00 or more in the account (after subtracting any starting virtual capital) after closing all positions and orders, and the payout will be calculated only according to the profitable performance of the Users according to the Trading Rules.

Any transaction or withdrawal of profits may be subject to a processing fee.

In order to ensure you build up an adequate buffer and stay trading for a longer period, once the account has reached 3 x DLs in equity (i.e., “projected balance” including unrealized profits) the max drawdown for the account will move to the initial balance, going below which will result in the account being terminated.
It is permitted to bypass this by withdrawing prior to reaching this threshold, but be aware that building a buffer is the preferred model and that the move is performed instantly based on intraday projected balance.

For example (for reference only; the specific terms above control):

Assume for this example an account with $100,000 initial balance, $2000 DL and $4000 max DD (minimum equity $96,000).
When this account reaches $106,000 in equity the minimum equity will now move to $100,000 without a buffer.
If after this point the trader decides to withdraw the full $6000, or the projected balance on the account moves below $100,000, the account will be terminated.
To continue to trade the trader needs to ensure that after any withdrawal there is an amount greater than $100,000 remaining, which will provide the sole drawdown buffer.

For legacy accounts with a starting balance of $0, the process is the same (minimum equity moves to $0, so going negative terminates the account).

Account-Specific Parameters and Special Programs

Multiple subsections may apply to a given account type here (for example, a legacy Limited Edition day-trading account is affected by both subsections).

MAX/FLEX

Payout split is 70/30 (trader/TTP) across the board.

Starts with virtual capital according to account selected:

$5k intraday or $800 overnight
$25k intraday or $4k overnight
$50k intraday or $8k overnight
$100k intraday or $16k overnight
$200k intraday or $32k overnight

MAX

Minimum 20 positions.

Evaluation period is 60 calendar days.

Over the weekend purchased:

If a User joins TTP on Friday, we will add an extra 3 days to the evaluation period.
If a User joins TTP on Saturday, we will add an extra 2 days to the evaluation period.
If a User joins TTP on Sunday, we will add an extra 1 day to the evaluation period.

FLEX

Minimum 10 positions.

Evaluation period is unlimited.

14-day inactivity timeout.

Minimum 3 × 0.5% profitable days per payout cycle.

Legacy Limited Edition Program

Minimum 10 positions.

Maximum position profit ratio: 50%.

Minimum 3 × 0.5% profitable days per payout cycle.

Legacy Day-Trading Programs

Minimum 20 positions (except Limited Edition).

Maximum position profit ratio: 30% (except Limited Edition).

Evaluation period is 45 calendar days.

Starts with $0 virtual capital; buying power according to account selected:

$20k intraday or $3k overnight for Mini BP
$80k intraday or $12k overnight for Super BP
$160k intraday or $24k overnight for Extra BP
$260k intraday or $39k overnight for Ultimate BP

Legacy Swing-Trading Programs

Maximum position profit ratio: 50%.

Evaluation period is 100 calendar days.

Starts with $0 virtual capital; buying power according to account selected:

$3k for Mini BP
$12k for Super BP
$24k for Extra BP
$39k for Ultimate BP

Partnerships and Add-Ons

Trade-Ideas / TrendSpider / BookMap

Due to our collaboration with Trade-Ideas & TrendSpider, BookMap any new User that signs up for Trade The pool program (excluding Mini BP) will be eligible for a FREE Trade-Ideas or TrendSpider or BookMap user for 30 days.

Please be aware, once a User gets funded, he or she will pay for their subscription to one of the platforms (if he/she would like to use them).

Tradersync / Stock Traders Daily / Tradervue

Due to our collaboration with Tradersync / Stock Traders Daily / Tradervue any new User that signs up for Trade The Pool program (including Mini BP) will be eligible for a FREE Tradersync / Stock Traders Daily / Tradervue user for 30 days.

Please be aware, once a User gets funded, he or she will pay for their subscription to one of the platforms (if he/she would like to use them).

Trading Scope

Trading Instruments

Trading activity is limited to those instruments which are available on the trading platform, generally consisting of stocks, warrants, exchange-traded notes (ETNs), exchange-traded funds (ETFs), and other exchange-traded products (ETPs) which are tradeable on Nasdaq.

Actual trades on these instruments are further subject to the limitations described elsewhere in this document.

Ideal Risk Management Requirements

Ideal Risk Management Requirements apply to all Users in the programs, and they are committed to limiting their risk and exposure –

The Program suggests a risk management discipline, which Users can choose whether to embrace or not.

Upon meeting profit targets, the Program promises to accommodate a guaranteed account growth for all Users demonstrating either risk management approaches.

Ideal Risk Management Discipline

The following are the characteristics of the Risk Management required and its definitions, which the User should fully comprehend and self-enforce for optimizing a growth milestone target.

Stop Loss and Quantity

Stop and Quantity:

Daily loss X 30% = the maximum $ risk you can take on each trade (each execution)

Entry Price – Stop Loss Price = Stop size

Max $ Risk / Stop size = Number of shares to buy/sell

Example: Stock price is $100, Entry price $101, Stop loss at $99.

Stop size = $2

Daily loss = $700 (Super BP)

Max money risk 30% of Daily Loss = $210

Quantity = $210 / $2 = 105 shares to buy/sell

Buying Power / Max Exposure

Calculation

Stock price X number of shares

When calculating available buying power, open orders are incorporated as well.

Multiple positions of the same asset, are considered the same trade and will be added together (netting account).

Day Trading Programs

Beginning 10 minutes before the end of each day (regular trading hours), all open orders and positions will be automatically fully liquidated. Once the after-market session begins, Users may initiate a new position with the “overnight exposure”.

Note: It is the User’s responsibility to ensure compliance with buying power limits; if the User wishes control over the closing price, all positions should be closed manually before this deadline.

Swing Trading Programs

Exposure will be the same for the entire day (out and inside regular trading hours).

Detailed Rules and Additional Parameters

The following are the definitions of the Program end targets:

Profit Target

Each step in the Program has a specified target milestone in terms of USD net profit. The amount specified is net profit after deduction of all trading costs, spread and commission.

Daily Loss Limit

The account Daily Loss is the current equity (projected balance) at each moment minus the balance (realized) at the start of the day. Each account has a Daily Loss Limit determined by the account type and any scaling. If the Daily Loss exceeds the Daily Loss Limit, the Daily Pause is triggered: all open positions and orders are closed and the account is prevented from opening trades until the opening of the next trading day.

The system may provide the User an opportunity to reset the Daily Pause, which will allow trading to resume with an additional Daily Loss Limit’s worth of losses allowed in the current trading day.

Account Stop out Value

Is the account value by equity, which determines the maximum loss allowed in the account.

Once the Account Stop out value is breached below, termination for the account will be announced, all unrealized positions, and orders will be closed by the authorized personnel.

Minimum Trades

The minimum number of trades to pass the evaluation phase is 20, unless otherwise specified.

Flat Portfolio on Targets

A User must close all trades and pending orders once reaching the milestone target or the drawdown.

Copy Trading

Copy trading is allowed only between 2 accounts (not more) that are each Mini BP, Super BP, or MAX/FLEX of size $50k or lower (Max/FLEX $5k, $25k, or $50k).

Minimum Volume Per Asset

Regular Trading Volume

During regular trading hours, a User may open or add to a position only if the number of shares that have been traded on that day is more than 200,000 shares.

Example:

ABC ticker has a volume of 150,000 at 09:50 ET – must not open/add
ABC ticker has a volume of 203,000 at 09:57 ET – may open/add

Extended Trading Volume

During extended trading (pre-/after-market), a User may open or add to a position only if the number of shares that have been traded on that day is more than 20,000 shares.

Example:

ABC ticker has a volume of 15,000 at 08:50 ET – must not open/add
ABC ticker has a volume of 23,000 at 08:53 ET – may open/add

Accumulated Buying Power

Purchasing multiple evaluation accounts is permitted. However, the total base buying power of all accounts should not exceed $450K of Buying Power (before scaling).

Stocks Split

All positions must be closed before splits (if it was announced at least the day before).

Trading Commission

Commissions are the industry’s standard method for brokers and liquidity providers to charge for the service of executing orders. The Company applies commissions at its own fixed rate in order to allow for its own transaction costs, to mirror the conditions of trading in the live market, and to ensure consistency between evaluation and funded accounts.

The cost of commission is 1/2 cent per share, with a minimum cost of $0.75, per filled order:

When buying 50 shares of AAPL in 1 order you will pay $0.75 (the minimum)

When buying 200 shares of AAPL in 1 order you will pay $1 (by number of shares)

Restrictions for Overnight Positions

During the earning season the User will not be allowed to hold an overnight position on a reporting company.

Example:

AAPL reporting on July 20th, after market close.

A User will be able to trade it on the 20th intraday, but won’t be able to hold it overnight.

On the 21st, once the market opens at 9:30 ET, the User will be able to trade it as normal.

Trading Conditions

Trading performance may also be affected by various conditions, as such:

Variable Spread

Spreads vary according to the market liquidity, at rigid times such as during high-impact economic events, the spread difference of ask and bid prices can expand multiple times.

The spread is based on Nasdaq’s order book and may differ from that of other exchanges.

Stop Pending Orders

Ordering at a specifically requested price is not a functionality of stop orders – once triggered, the price will be filled at the next best price according to the exchange order book.

Trading Gaps

At times of extreme liquidity in the market, the differences from one tick quote for the next may significantly increase. This is also known as ‘A Gap’. Any orders that are placed at prices with no tick quote will be filled at the next available quote. This may result in execution at a less preferred price.

Economic Event Releases

At times of releasing any Economic Data, the price tends to form gaps, and spreads may increase in multiples, and execution is not guaranteed by price. It is advised to pay attention to the event release schedule, to reduce position exposure and shift further limit and stop orders.

Stocks Market Trading Hours

Market hours are based on the ET time zone. During normal days the stock market open hours are from 09:30 to 16:00, Monday to Friday.

However, on US holidays the market will close early or won’t be active at all.

It’s the User’s responsibility to check and be aware of holidays, days and hours of activity.

Complaint and Disputes

In the unlikely event that you are dissatisfied with the service provided by Trade The Pool, please contact our helpdesk as soon as possible at +1 (331) 444 0024 or via email at help@TradeThePool.com, or by submitting a contact form under the contact us page: https://TradeThePool.com/about/#contactus, or by contacting our live support chat when available.

In case of filing a complaint, please include as much detailed information to describe your case. To allow us to easily investigate your complaint, associate your full name, email, account id, time of the event, and further detailed information related, You may also provide screenshots images of software, log files, and any other evidence that can be helpful for the claim.

If a 3rd party service is involved, before you take formal steps, first to contact us by email. telephone or chat, when available. Often it is possible to find a solution without instigating formal procedures.

The above is provide in addition and subject to the Terms of Use

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