What is a reset in a prop firm?
Quick answer
A reset gives a trader a fresh attempt at a challenge, usually at a discount, after they breach a rule or want to start over. In practice it is a new account of the same size and rules. Resets are an important revenue stream and a way to keep traders who failed engaged.
Detailed answer
Resets turn a failed attempt into another chance.
How resets typically work
- Offered after a breach, sometimes also before one.
- Priced below a new challenge.
- Start from the original starting balance.
- Use the rules in force at the time of the reset.
Why firms offer them
- Revenue from existing customers, with no acquisition cost.
- Retention: traders stay engaged.
- Goodwill after a close breach.
Things to define
- The price and when it is available.
- Whether resets are limited.
- Which rules apply: the original version or the current one.
Example
A trader breaches a $25,000 challenge on day eight. The firm offers a reset at a discount. The trader accepts and receives a new $25,000 account under the current rules.
On PropExecutor
A reset is a new account on the same account type, assigned to the same trader record. It uses one credit and runs on the rule set's current version. The breached account keeps its history.
PropExecutor team · Updated
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