What is a profit split, and how is it usually structured?

Quick answer

A profit split is the share of a funded account's profits that the trader receives when they request a payout. Many firms advertise splits between 70% and 90% for the trader, sometimes rising with consistent performance. The firm keeps the remainder, although with simulated accounts that remainder is not trading income.

Detailed answer

How splits are usually expressed:

  • Base split: the trader's percentage of profit at each payout.
  • Scaling split: a higher percentage after a number of successful payouts.
  • Add-on split: a higher split bought as an extra at challenge purchase.
  • First payout rules: some firms require minimum trading days or a minimum profit first.

Example: a funded $50,000 account shows $2,000 profit at payout time. With an 80% split, the trader receives $1,600, and the account usually resets to its starting balance or continues from the new balance, depending on your terms.

Splits are a payout policy rather than a platform setting. You calculate payouts from the account's realised profit, which PropExecutor reports per account in the admin panel and through the API.

Setting your split

A higher split attracts traders but raises the cost of every payout. Model the split against your expected payouts rather than matching the highest figure in the market. Many firms start with a moderate base split and raise it after consistent payouts, which rewards the traders they most want to keep.

Writing it down

State whether the split applies to gross profit, how fees are treated, and what happens to the balance after a payout.

PropExecutor team · Updated

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