Category: Education

Many firms include a second stage, often called the Verification Phase. This is typically a shorter period with a smaller profit target. Its purpose is to verify that your success in the first phase was not a fluke and that you can maintain your discipline. The rules are often similar, sometimes with a slightly adjusted drawdown. The key is to avoid complacency; trade the verification with the same focus and respect for risk as you did the initial challenge. Beyond these phases, you must be aware of other common rules. Some firms have minimum trading day requirements to prevent passing a challenge with a single lucky trade. Others may have rules against holding trades over high-impact news events or trading certain exotic instruments. Thoroughly reading and understanding the specific rules of your chosen program is non-negotiable. This entire process, used by firms like Lark Funded, serves as a bootcamp, ensuring that only traders who can prove consistency and risk awareness are trusted with live firm capital.