The prop firm consistency rule in one example

What this video covers

How a 40% consistency rule works with the page’s example: a $2,000 best day means $5,000 of total profit before a pass or payout. Why firms use it and what it usually does to payouts.

Sources and the longer explanation: What Is a Prop Firm Consistency Rule?.

Numbers shown on screen

• 40% max share of total profit from your best day
• Day 1: $500
• Day 2: $2,400
• Day 3: $300
• Day 4: $400

How the visuals were made

In 0:53 the video moves through 7 scenes, including a worked formula card ($2,000 ÷ 40% = $5,000); a ring chart showing 40%; a side-by-side comparison of What it does and What helps; a checklist, “Read the fine print”; a column chart, “Four trading days, 40% rule”. All graphics were rendered frame by frame by UXS; no stock footage, logos or faces are used.

Chapters

• 0:00 What is a consistency rule?
• 0:05 A 40% consistency rule
• 0:15 max share of total profit from your best day
• 0:17
• 0:23 Read the fine print
• 0:33 Four trading days, 40% rule
• 0:49 Risk note

Transcript

A prop firm consistency rule caps how much of your total profit can come from one day.

With a 40% rule, if your best day made $2,000, you need at least $5,000 of total profit before you can pass or get paid.

Firms use it to discourage one-off gambles.

It usually delays a payout rather than ending the account. Steady, small risk keeps you within it.

Rearranged, required total profit equals best day divided by the limit. Some firms measure a single trade instead of a day, so read the exact definition.

Another example: days of $500, $2,400, $300 and $400 total $3,600. The best day is 67% of that, so under a 40% rule you need $6,000 in total.

Educational only, not financial advice.