Follow along with our TopstepTrader review to get the rundown on this top-tier prop trading firm.
TopstepTrader is an established prop firm that helps you build your trading toolkit and provides funded accounts for trading financial instruments, such as futures and forex.
It allows any funded trader to make real money as long as they can successfully manage risks while proving profitability.
The Topstep Trading Combine offers a challenging but fair entry point into the firm that prepares you to profit in the financial markets.
This all sounds good, but is this prop firm really worth your time?
Check out our TopstepTrader review to find out.
What Is TopstepTrader?
TopstepTrader is a prop trading platform founded in 2012 by Michael Patak.
Patak, a former Dow futures trader, founded the firm on the floor of the Chicago Board of Trade and officially made it a limited liability company (LLC) in July 2012.
TopstepTrader operates in downtown Chicago, near the West Loop Gate neighborhood.
It’s one of the fastest-growing prop firms in the US, according to INC.com, so it’s certainly building a robust trading community.
Speaking of the trading community, Topstep Trader includes traders from over 140 countries worldwide.
And the firm supports 13 trading platforms including NinjaTrader, TradingView, and TSTrader.
Also, trading accounts on Topstep are offered in 10 different currencies.
Does Topstep Teach You How to Trade?
The prop trading firm provides resources that teach you how to trade — regardless of whether you’re a beginner, intermediary, or pro.
Topstep offers several excellent (and free) training materials, including live trading performance coaching for traders with different trading strategies.
The firm also offers lessons on trading psychology and even lets you watch a professional trader conduct real-time trades.
Topstep sweetens the deal by providing you with the latest news in the trading world.
The prop trading firm is an information hub that helps its users learn how to consistently meet a profit target and trade real money thanks to the educational resources they provide.
How Many Funded Traders Does Topstep Have?
Around 8,389 accounts were funded on Topstep in 2021 and well over 10,000 funded traders have traded capital on the platform.
According to the Topstep website, around 97% of its funded traders have expressed that the prop trading platform enhanced their trading experience.
How Does TopstepTrader Work?
TopstepTrader facilitates the opportunity for trade with Topstep capital on a funded futures trading account.
With funded accounts, traders keep the first 5,000 in profits they make on the platform before taking home 80% of subsequent profits.
Any opportunity to make real profits on Topstep depends on a trader’s ability to pass the firm’s Trading Combine.
Fortunately, Topstep gives you all the tools you need to develop solid trading strategies.
Topstep Trading Combine
The Trading Combine is the proving ground for traders at all experience levels to show how well they can manage risk, accumulate profits, and spot valuable trades.
When entering the Trading Combine, traders are given as much time as possible to reach trading goals set by Topstep.
The Trading Combine account is a monthly subscription service, with three types of simulated accounts to choose from, offering simulated funds of $50K, $100K, and $150K.
Trading Combine fees start at $165 for the $50K, $325 for the $100K simulated account, and $375 for the $150K account.
The $50K simulated trial account is the most popular simulated account on Topstep.
You can reset the account balance and Trading Combine account rules for a $99 fee.
The reset fee is charged on top of the monthly subscription fee.
There are two steps that traders must meet before accessing a funded trader account.
For the first step, you must reach the profit target and trade for a minimum of five days.
You cannot hit or exceed the daily loss limit.
You can’t allow your account balance to hit or exceed the trailing maximum drawdown.
And, you can’t exceed your maximum position size.
For the second step of the Trading Combine, you must reach the profit target and a consistency target, typically below 40% of total profits made.
You cannot exceed the daily or weekly loss limit, and you can’t allow your account balance to hit/exceed the trailing maximum drawdown.
Also, you must follow the scaling plan, where your free simulated trial account is evaluated against the plan at the end of each trading day.
When building or losing equity, your buying power increases or lowers based on your profit and loss (P&L) at the end of the trading day.
The second step is more difficult than the first, as rules are stricter.
However, if you successfully follow all the Trading Combine rules, meet/maintain the profit target set, and don’t exceed the daily or weekly loss limit, plus reach the minimum trading days, you will get access to a Topstep funded account.
Topstep Funded Account
The Topstep funded account is the reward for passing the two-step Trading Combine.
You get a trading account funded by Topstep once you prove you are a successful trader.
There is no risk involved when trading on a TopstepTrader account
And there are more financial instruments to trade through the funded account.
Throughout the Trading Combine, traders are only allowed to trade futures that are listed on the Chicago Mercantile Exchange (CME).
The caveat with trading additional products on the platform is that traders must pay for the exchange data feeds that produce info in real-time.
The rules for the funded traded account are the same as the Trading Combine.
Like the trading combine, you can only trade approve products during permitted times and you cannot exceed your loss limits.
You also need to follow the scaling plan.
What Broker Does Topstep Use?
Live trading on TopstepTrader takes place through a UK-based broker, Equiti Capital, which is fully licensed to provide financial services and governed by the Financial Conduct Authority (FCA).
Equiti was a strict forex broker but has since expanded to offer more financial tools.
Equiti Capital is a prime brokerage that sends direct orders to liquidity providers without pushing them through an internal dealing desk, eradicating any conflict of interest and allowing traders to get the best possible execution.
- Profit Split
- Video Library
- Trading Forum
- TopstepTrader Support
Once you become a funded trader and pass the $5,000 threshold, you can keep an impressive 80% of your profits.
The industry minimum is 50/50, so this is a huge step up.
In fact, it’s one of the most accessible and competitive splits out there.
Some firms have similar or slightly higher profit splits, but you need to jump through more hoops to access them.
Topstep offers comprehensive performance coaching, including personal and private one-on-one coaching.
The coaches you will meet have extensive experience with trading futures and other financial instruments, helping you to maximize your funded account.
You can alternatively seek digital coaching, as Topstep uses artificial intelligence to provide real-time guidance.
You can also do group coaching, allowing you to meet fellow traders as you learn about the key aspects of funded trading.
The Performance Coaching Plan costs $395 a month.
However, if you’re a funded trader, performance coaching is free.
With the Performance Coaching Plan, you will get:
- A half-hour kickoff session
- Personalized advice
- Daily meetings
- Weekly personal coaching sessions
- Access to the private trade group chat
Topstep boasts an extensive video library with 326 exclusive trading videos to choose from.
The video library includes day trading strategies that let you use feedback from fellow members of the trading community, including a Coach’s Playbook, and videos designed specifically for funded traders.
You’ll learn about things like ranges and breakouts, end-of-year checklists, and indicators for day trading, among other key trading tips.
The trading firm’s trading forum allows you to connect with various private community members, with over 10,000 of them on the platform.
There are more than 10 live shows a week and several professional traders on Topstep’s staff who you can talk to on the forum.
You can request withdrawals at any time, though, you will need to wait up to seven days before you can receive your payout.
No wire fees are charged if your payout exceeds $500.
If it’s below $500, then a wire fee of $50 is charged.
Over 3.2 million funded trader withdrawals were processed in 2021.
TopstepTrader support is available 24/7.
Live chat representatives are available during Topstep’s normal business hours between 7 am and 6 pm.
Live chat support is not directly provided through the firm’s help center.
Is TopstepTrader Legit?
TopstepTrader is a legit prop firm and is one of the most highly regarded ones in the industry.
Topstep has been featured on various notable mainstream outlets including Bloomberg, CNBC, Fox Business, Marketwatch, and Forbes.
However, it’s not regulated by any financial authorities because traders aren’t risking their own funds but are, instead, trading the firm’s capital.
This is par for the course with prop firms, though.
All trading is done on a live account through its regulated broker.
How Much Can You Make With TopstepTrader?
How much you can make depends on how well you can meet profit targets.
With an 80% profit split, you have a bigger cut than you would trading with many of TopstepTrader’s competitors.
How Much Does TopstepTrader Cost?
TopstepTrader’s pricing depends on the exchange and platform you’re trading on.
There is a 14-day free trial account that allows you to practice your trading before entering the Trading Combine.
This pricing does not take into account the firm’s 20% cut from trading.
The monthly cost will also depend on the buying power your account has. See the image below for more details. Please note the prices below do not take into account the 20% discount available for all new traders.
TopstepTrader Cancellation Policy
Because the Trading Combine account provides immediate access to a trading account and real-time data, refunds are not available after making a purchase.
However, Topstep offers a 14-day satisfaction policy.
If you are not satisfied with the service within the first two weeks of using it, Topstep will refund you a maximum of one monthly renewal payment for your Trading Combine — as long as you provide feedback for why you’re discontinuing your account.
If you left on your subscriptions accidentally, refunds will only be considered within 72 hours after your account charge has been processed, as long as your account has no new trading activity.
Should your account be rendered ineligible due to breaking any Trading Combine rules, your account will be reset at no extra charge once the payment is processed.
TopstepTrader Pros and Cons
We found a lot to like in our TopstepTrader review, but there are some places the prop firm could improve on.
Profit Split – The 80% profit split is above industry standards.
Various Trading Opportunities – You can do forex trading, futures trading, and engage in trading currency pairs as well.
Educational Resources – The firm’s video library, coaching, live classes, and trading community provide various learning opportunities for traders.
Free Simulated Trial Account – For the 14 days you have this account, you’re provided with a $150,000 balance, helping you to practice your trading strategy and prepare for the Trading Combine.
Coaching Costs – The performance coaching costs $395 monthly during the Trading Combine, which is a hefty price.
Higher Exchange Fees – Funded traders are treated as professional traders whenever they pay the exchange fees, leading to higher fixed costs for any exchange data feeds.
We think TopstepTrader is an excellent prop firm, but you don’t have to take our word for it.
Check out these reviews of Topstep from real traders.
Is TopstepTrader Right for Me?
Really, anyone who’s looking to develop their trading skills might benefit from joining Topstep.
The firm could be a good fit for:
- Forex traders
- Traders who don’t have much capital
- Active traders
- Futures traders
- New day traders
If you fall into any of these categories, you could get a lot out of TopstepTrader.
TopstepTrader Review: Final Thoughts
TopstepTrader is a great firm for traders trying to improve their stock market strategies and profit at the same time.
As a prop trader, you can access exhaustive educational materials and trade with surprisingly flexible rules.
This doesn’t even take into account the generous 80/20 profit split.
Even some of the top firms out there only provide a 50/50 split, so this is a massive upgrade from industry standards.
That alone might be enough to put TopstepTrader on your shortlist.
And with a 14-day free trial, you can test the waters risk-free.
So we’re giving this firm a solid A rating and recommend you check it out.