Understanding the evaluation rules is the single most important factor in passing a prop firm challenge. Many talented traders fail not because of poor trading skills, but because they do not fully understand the rules governing their evaluation.
In this guide, we break down every rule of The5ers' evaluation programs — HyperGrowth and HighStakes — so you know exactly what to expect before risking your entry fee. Use code PFKEY for 5% off when you are ready to start.
Quick Summary: The5ers Rules at a Glance
| Rule | HyperGrowth | HighStakes |
|---|---|---|
| Steps | 1 | 2 |
| Profit Target (Phase 1) | 10% | 10% |
| Profit Target (Phase 2) | — | 5% |
| Daily Loss Limit | 3% | 5% |
| Maximum Loss | 6% | 10% |
| Drawdown Type | Static | Static |
| Time Limit | None | None |
| Min Trading Days | 0 | 3 per phase |
| Leverage (FX) | 1:30 | 1:100 |
Profit Targets: What You Need to Achieve
HyperGrowth: 10% in One Phase
The HyperGrowth program requires you to achieve a 10% profit target in a single evaluation phase. On a $10,000 account, that means reaching $11,000 in account equity.
Key points:
- No time limit — take 1 day or 6 months
- No minimum trading days — you can pass on day 1
- Profit is calculated on closed trades (floating P&L does not count toward the target until closed)
HighStakes: 10% + 5% in Two Phases
The HighStakes program splits the evaluation into two phases:
- Phase 1: Achieve 10% profit
- Phase 2: Achieve 5% profit
The lower Phase 2 target makes it psychologically easier — you have already proven yourself in Phase 1, and now just need a more modest 5% to get funded.
Key points:
- Minimum 3 trading days per phase
- Both phases have the same drawdown rules
- Account resets between phases (start fresh with the same balance)
Drawdown Rules: The 6% That Matters
The drawdown rules are where many traders fail, so understanding them perfectly is essential.
Daily Loss Limit
- HyperGrowth: 3% of initial balance per day
- HighStakes: 5% of initial balance per day
Important: The daily loss limit includes BOTH realized losses (closed trades) AND unrealized losses (open positions). If you have -$200 in closed losses and -$150 in floating losses, your total is -$350, which would breach the 3% limit on a $10K HyperGrowth account.
Maximum Loss (Overall Drawdown)
- HyperGrowth: 6% of initial balance
- HighStakes: 10% of initial balance
Static vs Trailing: Why It Matters
The5ers uses static drawdown, which is a major advantage. Here is why:
Static drawdown (The5ers): Your max loss level is fixed at your starting balance minus 6%. On a $10K account, your max loss level is always $9,400 — even if your equity grows to $11,000.
Trailing drawdown (used by many competitors): The max loss level moves UP with your highest equity. If your $10K account reaches $11,000, a trailing drawdown would move your max loss to $10,400, effectively locking in some profit as risk.
Static drawdown gives you more room to breathe. You never have to worry about your maximum loss level changing as you profit. This is one of The5ers' strongest competitive advantages.
Time Limits: None
Unlike FTMO (30 days), FundedNext, and many other firms that impose strict time limits on their challenges, The5ers has no time limit on any program.
This is a game-changer for several reasons:
- No pressure to overtrade — Many traders fail because they force trades to meet a deadline
- Suits all trading styles — Swing traders and position traders can hold trades for weeks
- Account remains active — Even if you stop trading for a month, your challenge stays alive
- Better risk management — You can wait for A+ setups without worrying about the clock
Trading Rules: What Is Allowed?
The5ers is one of the most permissive prop firms when it comes to trading strategies:
| Strategy | Allowed? |
|---|---|
| Scalping | Yes |
| News trading | Yes |
| Weekend holding | Yes |
| Overnight holding | Yes |
| EAs / Bots | Yes |
| Hedging | Yes |
| Copy trading | Yes (with restrictions) |
| Martingale | No |
| HFT | No |
Prohibited Strategies
While The5ers allows most trading approaches, there are some restrictions:
- Martingale strategies are not allowed
- High-frequency trading (HFT) and latency arbitrage are prohibited
- Copy trading is allowed but must be from your own accounts, not third-party signals
Available Markets & Leverage
HyperGrowth Leverage
| Market | Leverage |
|---|---|
| Forex (FX) | 1:30 |
| Indices | 1:10 |
| Metals | 1:10 |
| Crypto | 1:2 |
HighStakes Leverage
| Market | Leverage |
|---|---|
| Forex (FX) | 1:100 |
| Indices | 1:30 |
| Metals | 1:30 |
| Crypto | 1:2 |
Tips to Pass The5ers Challenge
Based on data from over 262,000 funded traders, here are proven strategies:
1. Use the Static Drawdown to Your Advantage
Since your max loss level never moves up, you do not need to worry about "protecting profits." Focus on hitting the target, not on preserving a drawdown buffer.2. Take Advantage of No Time Limit
Wait for your highest-conviction setups. Do not force trades just to "make progress." Some of the most successful traders on The5ers take weeks or even months to pass their challenge.3. Respect the Daily Loss Limit
The daily loss limit (3% on HyperGrowth, 5% on HighStakes) is the rule that catches most traders. Set a hard stop-loss for the day and walk away if you hit it. Tomorrow is another day.4. Start with HighStakes if Budget-Conscious
HighStakes starts at just $19 for a $2,500 account. The higher leverage (1:100) and wider drawdown (10%) make it easier to pass. Use code PFKEY for 5% off.5. Journal Your Trades
Keep a detailed trade journal. The5ers' dashboard provides performance analytics, but maintaining your own records helps identify patterns in your trading.The5ers Discount: Save 5% with PFKEY
Ready to start your evaluation? Use code PFKEY at checkout to save 5% on any The5ers program:
- HyperGrowth $5K: $260 → $247 with PFKEY
- HyperGrowth $10K: $450 → $427.50 with PFKEY
- HyperGrowth $20K: $850 → $807.50 with PFKEY
- HighStakes $5K: $39 → $37.05 with PFKEY
- HighStakes $25K: $195 → $185.25 with PFKEY
Conclusion
The5ers offers some of the most trader-friendly evaluation rules in the industry. The combination of static drawdown, no time limits, generous leverage, and permissive trading rules makes their challenges more forgiving than most competitors.
Whether you choose HyperGrowth for the $4M scaling potential or HighStakes for the affordable entry and 80% profit split, The5ers provides a clear, fair path to funded trading.
Use code PFKEY for 5% off any challenge.
