How do I write a prohibited strategies policy?

Question

Accepted Answer

List each prohibited strategy by name with a plain definition and an example, state how it is detected and what happens (profit removed, account closed, payout denied), and explain the appeal process. Prefer objective, measurable rules over vague phrases such as "unfair trading".
A good policy includes:
Definitions: latency arbitrage, tick scalping below a set hold time, cross-account hedging, copy trading across different people, account sharing, exploiting price errors.
Measurable thresholds where possible, for example trades under 60 seconds.
Consequences: proportionate to the abuse.
Evidence: what you rely on.
Appeal: how to contest a decision.
The more of the policy the platform enforces automatically, the fewer judgement calls you make later. Rules such as minimum hold time, maximum orders per day and no hedging on PropExecutor turn parts of the policy into automatic checks.
### Keep it current
Review the policy when you see a new abuse pattern, and date each version. Apply changes to new purchases where possible, and give notice for any change affecting existing funded accounts, so the policy cannot be seen as moving the goalposts.
### Example clause
"Trades held for less than 60 seconds may be excluded from profit calculations."

How do I write a prohibited strategies policy?

Detailed answer

Keep it current

Example clause

Related questions