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What does "drawdown lock" or "DD Lock" mean?

DD Lock is a feature that applies to all Challenge and Funded accounts on all types.

Once your trailing drawdown floor reaches your account's initial starting balance, it locks there permanently and stops trailing. From that point on, the drawdown level becomes fixed and no longer increases, regardless of how high your equity goes.

Example (50K account, $2,000 max drawdown):

  • Your account starts at $50,000 β€” your drawdown floor is set at $48,000.

  • Your equity climbs to $52,000 β€” the floor trails up to $50,000 (your initial starting balance). The floor is now locked permanently.

  • Even if your equity later reaches $55,000 or higher, the floor stays at $50,000.

Important for Funded Accounts: Once the drawdown floor locks at the initial starting balance, your account has no cushion below that level. If you withdraw all of your profits and your balance returns to the starting balance, any further drawdown will result in your account being breached. Always keep a buffer in your account when making withdrawals.

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