Risk Management Strategies

We employ a few other risk strategies to ensure sustainability of the community pool

Scoring-Based Hedging

All funded traders are assessed via an internal performance scoring model, which determines whether their trades are:

• Fully hedged (no pool impact)

• Partially hedged (reduced pool exposure)

• Unhedged (paid directly from the pool)

Abnormal Behaviour Handling

To protect the system, PropTrading.Fun reserves the right to:

• Suspend or audit accounts showing unusual risk patterns

• Disable payouts pending review

• Adjust pass rate ceilings in case of extreme market conditions

Liquidity Contingency Protocol

In rare cases of extreme market volatility or abnormal trading conditions, if payout requests within a calendar month exceed the available balance in the Community Pool, PropTrading.Fun reserves the right to:

• Place eligible trader payouts on a scheduled distribution plan

• Payouts may be split over up to 3 months, depending on the available pool liquidity

• Traders will be notified in advance with a clear payment timeline

⚠️ This measure is designed to protect the sustainability of the pool and ensure all eligible traders are paid fairly without compromising future obligations.