Important points to note when Requesting a Payout from a Nitro (Simulated Funded) Account:
- Impact of Less Than 6% Profit on Overall Trailing Drawdown Limit:
Calculation: If the simulated profit is below 6%, the trailing drawdown limit is 6% from the Highest Recorded Balance.
Example 1: (Less Than 6% Profit)
Account Size: $100,000
Current Simulated Profit: 4% ($4,000)
Highest Recorded Balance: $105,000
Trailing Drawdown Calculation: $105,000 – (6% of $100,000) = $99,000
Scenario 1: Full Withdrawal of Simulated Profits
Withdrawal Amount: $4,000
Remaining Daily Limit: $100,000 (balance reset) – $99,000 = $1,000
Scenario 2: Partial Withdrawal of Simulated Profits
Withdrawal Amount: $2,000
Available Drawdown: $3,000
- Effect of Simulated Profit of 6% and above on Overall Trailing Drawdown Limit:
Calculation: If the simulated profit is 6% or higher, the trailing drawdown limit is fixed at the initial balance.
Example 2: (6% Profit Achieved)
Account Size: $100,000
Current Simulated Profit: 6% ($6,000)
Trailing Drawdown Fixed at Initial Balance: $100,000
Scenario 1: Full Withdrawal of Simulated Profits
Withdrawal Amount: $6,000
Remaining Overall Limit: $100,000 (balance reset) – $100,000 (fixed limit) = $0
Result: Breach of account due to no remaining drawdown limit.
Scenario 2: Partial Withdrawal of Simulated Profits
Withdrawal Amount: $4,000 Instead of $6,000
Available Drawdown: $2,000 ($106,000 – $104,000)
Result: No breach of account and the remaining Overall Drawdown Limit becomes $2,000 ($102,000 – $100,000)
