Another Prop Firm Down: Funds for Traders Ends Operations

The unpredictable nature of proprietary trading has led to another casualty. Funds For Traders recently notified its user base that it will halt operations. The company attributed this decision to Eightcap's choice to discontinue support for MetaTrader 4 and MetaTrader 5 platforms in prop trading.

Karma Capital, another proprietary trading firm, shut down unexpectedly a week before Funds For Traders announced its closure. Karma Capitals closure was partly due to reliance on a promised technical solution from an unnamed provider that never materialized, leading to financial strain over approximately four months. The firm also revealed that its risk management protocols were insufficiently implemented.

In the previous month, Funded Engineer, another struggling proprietary trading firm, permanently ceased operations and announced bankruptcy proceedings. The company explained that it had exhausted all avenues to stay afloat, including restructuring, cost-cutting, and attempts to raise additional capital, but these efforts proved unsuccessful.

Funds For Traders announced the cessation of all operations due to Eightcaps withdrawal of support for the MetaTrader platforms, which were crucial for their prop trading activities. Consequently, they can no longer offer these platforms to their users. Despite the sudden closure, the company assured users currently engaged in challenges that they would receive appropriate contact and support.

Similarly, True Forex Funds had to close down due to insolvency. Despite attempts to enhance its financial stability, the efforts were unsuccessful. Previously, the platform had announced a plan to relaunch operations, attributing its challenges to MetaQuotes for allegedly terminating its MT4 and MT5 licenses.

Funds For Traders conveyed gratitude and respect to its traders, highlighting the significant impact they had made together globally. The company expressed appreciation for the trust placed in them by their users and wished them success in their future endeavours.