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FTMO vs Darwinex

I think they have transposed the Broker Model and Real Prop Firm Model (with bulding and offices where you can go, sit and trade), to make a kind of hybrid. That makes that kind of companies who are really money printers, from my opinion. We can scream, we can admirate, we can be jealous, we can do or say what we want, but from the moment that's legal...
 
They dont' have any license to manage real money, there is no real trading, neither with or against customers.
It is a demo contest.
The only real money is what you pay and what you withdraw.
Why they should mess with real money?
Brokerage is risky, brokers blew in 2015 with CHF.
Probably they are honest and they pay, they dont' need to cheat, 99.9% of their customers are losers.
 
CavaliereVerde said:
They dont' have any license to manage real money, there is no real trading, neither with or against customers.
It is a demo contest.
The only real money is what you pay and what you withdraw.
Why they should mess with real money?
Brokerage is risky, brokers blew in 2015 with CHF.
Probably they are honest and they pay, they dont' need to cheat, 99.9% of their customers are losers.
Click to expand...
I hope so ! Because as i'm now trying to become a MFF Trader, i don't want they go bankrupt hahaa, better they stay with the model you just described! That's a safety model :)
 
The Erect Trader said:
I hope so ! Because as i'm now trying to become a MFF Trader, i don't want they go bankrupt hahaa, better they stay with the model you just described! That's a safety model :)
Click to expand...
Just, go ahead with your decision
I made lot of debate and explanation about FTMO and prop firms in other topic.
Now, tired and boring to do all over again at this topic.
Biz model of all online prop firms and most of brokers, nothing new to discuss. The point is just payout or not. That's all.
 
trilobite said:
Thanks, you've saved me some work then!
Anyone interested in watching it better be quick, before it gets pulled for copyright violation.
Click to expand...
Yes but they put some music and weird images inside the video at one moment! Exactly when they speak about FTMO Model! I think it's in order to mislead the youtube algorithm :p
 
Here we have the bulk of the discussion:
->https://www.trade2win.com/threads/alternatives-to-darwinex.238827/page-26
As long as you make money it is fine.
The difference is that with Darwinex making money is not the only goal.
At Darwinex you build a trackrecord, that becomes longer and longer even after losing months.
The final goal at Darwinex is to buld a real credible trackrecord of 3+ years and to make money as hedge fund managers.
Traders tend to show their successes and stay silent when they fail.
Only the trader knows how many tickets has paid to win.
 
That's true. It's not the same job. Prop Trader and Fund Manager. I would say, the PropTrader is more selfish. He doesn't want to manage money from a third part.
 
TrungLN said:
Just, go ahead with your decision
I made lot of debate and explanation about FTMO and prop firms in other topic.
Now, tired and boring to do all over again at this topic.
Biz model of all online prop firms and most of brokers, nothing new to discuss. The point is just payout or not. That's all.
Click to expand...
If you like the company and the business model, just buy their shares. Dividends guaranteed by all the loser traders. :)
 
93% of the FTMO traders fail the challenge and 77% of the retail traders (including social trading investors) lose money.
IMO the difference is not so big.

For me the old social trading concepts like etoro, Zulutrade, the others and also the Darwinex risk manager are running out models if they don't change anything. Against the so called prop firms. And no one of the social trading scene made changes to make investors more profitable, Darwinex's pivot did the opposite.

Silence on the scene since too many months.
I'm curious what Darwinex wants to do with the 3 mln fresh company capital. One thing is sure: the money should be additional earned in the following years as investors want to see a yield - and who will pay it? Yes, nobody else but their traders and investors. If they don't want to take it from the existing ones, their is high pressure to attract new traders and investors.

For people trying to make more money with their trading than they want to risk, the prop firms are the best opportunity meanwhile.
To lose $500 in a challenge is not worth than to lose 5% of a 10k forex or investor account.

And there are more bad news to the social trading industry by FTMO, if they will be looking for investors for their traders as other (smaller) prop firms do since months:
1628452316792.png
1628452463284.png
 
Last edited:
IlIlIlIlI said:
93% of the FTMO traders fail the challenge
Click to expand...
We are speaking about few months of "success".
IlIlIlIlI said:
77% of the retail traders (including social trading investors) lose money.
Click to expand...
Here we are speaking about one year.

In both cases we are very far from the real idea of successfull trader that could live from his profits.
Traders than pass tha challange will probably try another time to stack more money.
Even if you win once you can still fail and lose the account.
We should count the winners after 3 years from their first deposit on Darwinex or the first payment to FTMO.
I ma certain that 99% is in loss for both cases.
 
CavaliereVerde said:
We are speaking about few months of "success".

Here we are speaking about one year.

In both cases we are very far from the real idea of successfull trader that could live from his profits.
Traders than pass tha challange will probably try another time to stack more money.
Even if you win once you can still fail and lose the account.
We should count the winners after 3 years from their first deposit on Darwinex or the first payment to FTMO.
I ma certain that 99% is in loss for both cases.
Click to expand...
Yes, and we are speaking about many thousands of $, € an GBP from the retail traders and not about $500 for a challenge.

The real challenge for an FTMO traders starts with month two as funded trader with FTMO.
I assume that less than 5 % of the traders paying the challenge reach that level as most of them don't think about how to trade the period to make money but only about how to win the challenge. To all traps set by the FTMO rules this is the worst one as nobody is warned. ;)
 
Really a luxury reading such a detailed info.
I confess I didn't know that the FTMO model was based on a demo account. So, if I understand well: There's just fake money and trader get paid after some expected achievements.

Well, in that case that's not a serious alternative. Just another way of gambling.

By the way, I saw the documentary:
The Erect Trader said:
Just found the documentary of the BBC on youtube, they speak about FTMO in the second part :

Click to expand...

It is sad to see all those scammers. In fact they are taking advantage of the greed of naive people.

And that is the beauty of Darwinex. First introduction for anyone trying to sell anything is his Darwin. No more snake oil sellers.
 
FXforfun said:
Really a luxury reading such a detailed info.
I confess I didn't know that the FTMO model was based on a demo account. So, if I understand well: There's just fake money and trader get paid after some expected achievements.

Well, in that case that's not a serious alternative. Just another way of gambling.

By the way, I saw the documentary:


It is sad to see all those scammers. In fact they are taking advantage of the greed of naive people.

And that is the beauty of Darwinex. First introduction for anyone trying to sell anything is his Darwin. No more snake oil sellers.
Click to expand...
There are a lot of rumours what's FTMO doing and what they are not doing as capital allocation. Most of that is speculation without knowledge or thinking and calculating how their business model can work. I won't call them scammers.
I think they have a dedicated model when to allocate capital and when they don't need to.
There are scammers in the prop firm market who pay only small amounts to traders and can't payout bigger amounts. Against that FTMO make advertising videos if they pay bigger amounts.
 
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