NPF Capital FAQ - Frequently Asked Questions

For both the demo NPF Capital Audition account and live trading accounts, the following rules apply:

• Max 4% daily loss limit. This is a hard breach.
• 5% max trailing drawdown. This is a hard breach.
• You must place a trade at least once every 30 days, else you will fail the audition. This is a hard breach.
• Stop-loss required for each trade
• Flat for the weekend — all positions closed on Friday at 4PM EST

Note that the daily loss limit applies to current daily equity. For example, a trader with a $100,000 funded account would have a $4,000 daily loss limit. If the trader ran up a profit of $10,000, their new daily loss limit would be $4,400 which is 4% of their new Balance of $110,000.

In addition, there is a limit on the maximum number of open lots. If you are in the $100,000 plan, you will have 10 open lots with risk available. If you buy 5 lots of EUR/USD at 1.2000 and your stop loss is at 1.1800, you would have 5 lots on with risk, so you would have 5 still available. If the EUR/USD moves up to 1.2500, and you update your stop loss to be at 1.2000, which would be your open price, you no longer have risk on that trade.

So, you would again have 10 lots available, even though you currently have 5 lots open. In the event that you put on too many trades with risk, then our system will liquidate all trades that currently have risk.

This is only considered a soft breach though, which means, even though you violated the rule, you can continue on trading, and should you reach your 10% profit target (without violating daily or maximum loss limits), you would be upgraded to a live funded account.

We calculate the daily loss limit based on the previous day’s end of day balance. For example, if your prior day’s end of day balance was $100,000, your account would breach when your equity reached $96,000 that day.

Additionally, because we base the daily stop out level on a %, and not a fixed $ amount, the more money you make in your account the wider your daily stop loss is. For example, if you start with a $100,000 balance and grow that account to a $110,000 balance, your daily stop out level is now $4,400 vs. $4,000 previously.

Our Maximum Trailing Drawdown is the maximum your account can drawdown before breaching your account. The initial level is set at 5% from the starting balance of your account. As your account balance increases, the trailing maximum drawdown follows you up until you achieve a profit target of 5% in your account.

Once you have achieved a 5% profit target in your account, we take off the trailing drawdown and allow our traders to draw back down to their initial starting balance before breaching the account.

The Max Trailing Drawdown is 5% of your starting balance . For example, if your account size is $100,000 then it will be $5,000. So, if you make profit and your HWM (High Water Mark) on Closed Trades is going up to $102,500 then your breach level will be = (HWM Closed Trades - $5,000)= $102,500 - $5,000=  $96,500. Another example, if you have a $100,000 account, you can go down to $95,000 before being disqualified. Let’s say you are a profitable trader and make $4,000 in your account. Your High-Water Mark is now $104,000 (balance, so just closed trades). Your max drawdown limit will be $99,000. Next, you make an additional $1,000 in your account.

So, your new High-Water Mark is $105,000. Here is where it will lock in, so as your High-Water Mark rises (let’s say to $106,000, $107,000, etc.) your max drawdown limit will stay at $100,000.

Traders may have a maximum number of open lots equal to 1/10000 the size of their account.

Below are the maximum open lots across all pairs that a trader can have at any given time.

• $25,000 account – 2.5 lots with risk
• $50,000 account – 5 lots with risk
• $100,000 account – 10 lots with risk
• $250,000 account – 25 lots with risk
• $500,000 account – 50 lots with risk
• $1 million – 100 lots with risk

For example, if you are in the $100,000 plan you will have 10 open lots with risk available.
If you buy 5 lots of EURUSD at 1.2000 and your stop loss is at 1.1800, you would have 5 lots on with risk, so you would have 5 still available. If the EURUSD moves up to 1.2500, and you update your stop loss to be at 1.2000, which would be your open price, you no longer have risk on that trade.

So, you would again have 10 lots available, even though you currently have 5 lots open. In the event that you put on too many trades with risk, then our system will liquidate all trades that currently have risk.

This is only considered a soft breach though, which means, even though you violated the rule, you can continue on trading, and should you reach your 10% profit target (without violating daily or maximum loss limits), you would be upgraded to a live funded account.

In a live trading account with real funds, NPF Capital Audition requires that traders be flat over the weekend. In other words, all traders must close their positions before the markets close for the weekend. If you don’t close your positions, we will liquidate them for you before the close of the market.

You can hold trades overnight.

We do not limit your trading style or strategy, in any way. Whether your strategy involves discretionary trading, hedging, algorithmic trading, Expert Advisors (EAs) or anything else, you can use it with NPF Capital Audition.

Forex, Metals, Oils and Indices receive up to 10:1 leverage. Cryptocurrencies receive 2:1 leverage.

You are responsible for all applicable tax obligations in your country or region.

Traders will have the same live account balance as they chose for the Audition. Once a trader passes the audition and results are verified, they will be provided credentials to a live account — where they are entitled to 70% of profits generated.

There are no live account upgrade options for account size. Traders should choose the appropriate account size when applying for the Audition.

NPF-Traders can request a withdrawal of profits at any time, but no more frequently than every thirty (30) days.

When a withdrawal is requested, NPF will also withdraw its share of the profits and your new highwater equity will be marked down by the total amount of funds withdrawn.

For example, let’s say a trader with a funded $100,000 account posts a profit of $20,000. When they take their 70% profit or $14,000, NPF-Trader would also redeem 30% of profits in the amount of $6,000. Thus, the new account balance, after withdrawal, would be $100,000 and all daily loss limits and trailing drawdown rules would apply to this balance.

In addition, upon withdrawal, the high-water mark for the maximum trailing drawdown is reset to the starting balance. The rationale behind this is that our program is designed to be mutually beneficial. By not locking in the maximum drawdown at the initial balance, it puts our firm at risk of losing money, while having paid out profits to a trader.

Example: You have taken an account from $100,000 to $110,000. You then request a withdrawal of $10,000. In this scenario we would pay you $7,000 and we would retain $3,000. This would also take the balance of the account back down to $100,000, effectively resetting the account back to the start.

Your account would then be able to have the 5% maximum drawdown again, meaning you could lose $5,000. In this scenario you would have been paid $7,000 in profits, while our firm lost $3,000. So, the rule of locking in the maximum trailing drawdown at the starting balance upon the initial withdrawal ensures a mutually beneficial, long-lasting partnership.

Traders may have multiple funded accounts, but only one per Audition tier. So, for example, if you are trading a $100,000 account and wish to trade more, you can apply for a $50,000 account by taking a $50,000 NPF-Trader Audition.

1. Please click on https://npfinancials.com.au/npf-capital-audition/
2. Select the Audition (from Start-up, Transition, Competent etc) of your choice.
3. Click "Start Trading" below the Audition:
   
4. Select from MT4 or MT5:
   
5. Click "Add to cart" at the bottom right-hand corner:
   
6. Click "View cart" at the top right-hand corner:
   
7. Click "Proceed to checkout":
   
8. Fill in the Billing Details (First name, Last name, Country, Street address, Suburb, State, Postcode, Phone, Email):
   
9. Click on "Debit or Credit Card" & fill in the Card Details & then Click "Pay Now":
   
   
10. Click on "Pay with a Card":
    
    
11. Check out as a guest:
    (Enjoy the ease and security of PayPal even if you don't have an account. Enter your email address to get started.)
    
12. Please fill in the Card and Billing details:
    
13. Select the Button, "No, I don't want an account now" and Tick Mark the check box stating with, "You are at least 18 years old….." and then Click on Continue: