Best Prop Firms for News Trading (2026) — Fully Verified Policies
News trading is where prop firms differ most. Some ban it outright on funded accounts, some allow it freely, and others let you trade but tax your profits at 40% or void them entirely. A firm saying "news trading allowed" is meaningless without knowing the details — buffer windows, split penalties, paid add-ons, and account closure risk all vary firm by firm. This guide breaks down the exact news policy of every major firm, verified against official documentation.
If you just want the answer:
Finotive Funding and Funded Trading Plus allow unrestricted news trading on all plans. FTMO allows full news trading during challenges but applies a 2-minute buffer on funded Standard accounts (Swing accounts are fully exempt).
Top Picks for News Trading
The best firms for news traders, based on policy transparency and flexibility.
Best Overall for News Trading
Finotive Funding
Fully allowed on ALL plans, zero restrictions. No buffers, no split penalties, no add-ons required.
- No buffers or windows
- No split penalties
- All plans, all phases
Best Established Firm
FTMO
Full news trading during challenge; +/-2-min buffer on funded Standard only; Swing accounts fully exempt.
- Full news on challenge
- +/-2 min buffer on funded Standard
- Swing accounts exempt
The 4-Tier News Policy System
"News trading allowed" is meaningless without knowing the tier. A firm can say "allowed" but still tax your profits, restrict your windows, or require a paid add-on. Here's the full breakdown of 30 firms.
1. Fully Unrestricted
9 firms
News trading allowed on challenge AND funded accounts. No windows, no split penalties, no restrictions.
Finotive Funding
T1STATSFully allowed on ALL plans — challenge and funded. No buffers, no split penalties, no add-ons. Only standard strategy prohibitions apply (latency arbitrage, straddling).
Velotrade
T1STATSRulebook (effective June 2026) explicitly permits opening, holding and closing positions around all scheduled and unscheduled news — all account types, challenge and funded.
FXIFY
T1PROPFIRMSNo news trading restrictions on challenge or funded. EAs, weekend holding and martingale are also explicitly permitted.
TradingFunds (FTUK)
T1PROPFIRMSOfficial rule tables show News Trading Allowed in both evaluation and funded across One-Step, Two-Step, Instant, Flex and Futures programs.
IFUNDS
T1STATSNews trading allowed — marketed as 'no hidden rules'. Weekend holding also permitted.
Funded Trading Plus
T1STATSFully unrestricted news trading on challenge and funded accounts — explicitly marketed as a differentiator on their official blog. No dedicated news restrictions.
Sway Funded
T1STATSAllowed by default on all news and economic events. Occasional restrictions (announced via the client dashboard) apply a +/-5-min no open/carry window to specific events — rare by the firm's own account.
OFP
T1STATSNormal strategies (trend, breakout, reversal) are valid even when they coincide with a release. Straddling, double-sided pendings and gap exploitation are prohibited; the firm advises avoiding +/-2 min around high-risk releases.
SpiceProp
T1STATSNo news blackout on any account. The only news-related restriction is 'news hedging' — opening opposing positions within 5 minutes of major releases.
2. Allowed with Buffers or Split Penalties
12 firms
News trading is permitted, but with time buffers, profit caps, split penalties, or per-product conditions.
FTMO
T2Challenge & Verification: fully allowed — FTMO's own blog says you can ignore the news rule during evaluation. Funded Standard: no open/close within +/-2 min of high-impact news on affected instruments. Swing accounts: fully exempt.
FundedNext
T2STATSEvaluation: fully allowed. Funded: profits from trades opened/closed within 5 min before/after high-impact news count at a 40% split (News Reward Share Rule). Losses count at 100%.
Maven Trading
T2STATSPer their T&C: no opening or closing trades within 2 minutes either side of Red Folder news (Forex Factory) on all accounts — including TP hits; profits generated in the window void the challenge. Instant accounts are exempt.
E8 Markets
T2PROPFIRMSE8 Signature, Pro and Zero: no news restrictions either stage. E8 One: phase 1 unrestricted, but the funded stage strictly prohibits trading +/-5 min around high-impact events (includes SL/TP fills and pending orders).
The5ers
T2STATSHigh Stakes: holding trades over news is allowed, but executing orders within a 2-min buffer of high-impact events is prohibited.
Blue Guardian
T2STATS5-minute buffer around high-impact news (plus FOMC) on funded accounts; challenge phases unrestricted. Profits generated inside the window may be voided.
BrightFunded
T2PROPFIRMSPhases 1 and 2: fully unrestricted. Funded: 10-min window (5 before/5 after) — no opens, closes, or SL/TP fills. Soft breach: profit from the trade deducted, account NOT breached. Trades open 48+ hours are exempt (swing-trade TP protection).
Audacity Capital
T2STATSNews trading is allowed, but avoid opening, closing (TP, SL or manual) or adding to positions within 3 minutes either side of high-impact news or speeches — applies to ALL programs (Ability Challenge, Ability One, FTP Instant), not just funded.
FundingRock
T2STATS+/-2 min window around high-impact news: you can hold existing trades, but not open new ones during the restricted period.
Evercrest Funding
T2STATSAllowed in all phases. On funded accounts, profits from trades within 5 minutes either side of red-folder news are capped at 1% of the initial account balance — anything above is removed.
IcFunded
T2STATSEvaluation (both steps): unrestricted. Funded: 3-minute cool-off — no opening or closing trades within 3 min before or after a high-impact release.
The Funded Way
T2STATSPRO plans have zero news restrictions at any stage. Standard plans allow free news trading during challenges but apply funded-stage restrictions — the exact windows are not published, so confirm with support before trading news on a funded Standard account.
3. Add-On Required
4 firms
News trading is free during the challenge on most plans, but requires a paid add-on on funded accounts. Trading without it triggers penalties.
PropXP
T3STATSFree during the challenge. Funded and Instant accounts require the News Add-On — without it: 1st violation = warning + split cut to 50%; 2nd violation = hard breach.
Alpha Trader Firm
T3PROPFIRMSNews trading allowed during evaluation. On funded accounts, a 5-min buffer applies around high-impact events unless the News Add-On is purchased.
MyFundedCapital
T3PROPFIRMSModular add-on system: news trading is restricted by default and must be purchased as an add-on (same system as weekend holding, on-demand payouts and split upgrades).
TX3 Funding Fx
T3STATSChallenge accounts: news trading is only allowed with the add-on. The restriction blocks executing, modifying or closing trades within 5 minutes either side of red-folder macroeconomic events. Instant Standard accounts are also restricted.
4. Prohibited or Severely Restricted
5 firms
News trading is banned on challenge and/or funded accounts, or carries account closure risk. Do not trade news on these firms without reading the full policy.
FundingPips
T4STATSEvaluation: ZERO restrictions — hold and manage trades freely through news; only deliberately exploiting news is prohibited (closure risk). Master: 10-min window (5 before/5 after) blocks opening/closing on affected currencies — a soft breach (profits deducted, account not closed). Trades open 5+ hours before the event are exempt (5-hour rule).
Think Capital
T4STATSStrictly prohibited on BOTH challenge and funded for Lightning, Dual Step Intraday, Nexus and Bolt — a +/-2-min no-activity window where even SL/TP hits mean immediate breach and profit forfeiture. Bolt is stricter (+/-5 min) with no add-on escape. The News Add-On (checkout, Lightning/Nexus only) lifts all restrictions; Dual Step Swing allows news by default.
Tradexprop
T4STATS20A +/-3-minute window around high-impact news is listed as a Prohibited Trading Activity on BOTH challenge and funded accounts — violations risk account closure, not just profit deduction.
TradersYard
T4STATSCFD 1-Phase: news trading is not allowed during evaluation by default (a configurator add-on at purchase can enable it). The funded stage is always restricted — no trading from 10 minutes before until 5 minutes after an event; trades inside the window risk being voided.
EverTrader
T4PROPFIRMSEvaluation: no news limits. Funded: you can hold trades over news, but cannot open OR close trades within 6 minutes before and 6 minutes after a high-impact release (12-min window). Profits from trades opened and closed inside the window are not counted — the account is NOT breached.
Master Comparison Table
Every firm's news policy side by side. Click column headers to sort.
| Firm | Tier | Challenge News | Funded News | Buffer Window | Split Impact | Add-On | Promo Code | Review |
|---|---|---|---|---|---|---|---|---|
| Finotive Funding | T1 | Fully allowed | Fully allowed | None | None | No | STATS | View |
| Funded Trading Plus | T1 | Fully allowed | Fully allowed | None | None | No | STATS | View |
| FXIFY | T1 | Fully allowed | Fully allowed | None | None | No | PROPFIRMS | View |
| IFUNDS | T1 | Fully allowed | Fully allowed | None | None | No | STATS | View |
| OFP | T1 | Fully allowed | Fully allowed (no straddling) | +/-2 min advisory | Straddling = breach | No | STATS | View |
| SpiceProp | T1 | Fully allowed | Fully allowed | None | News-hedging forbidden | No | STATS | View |
| Sway Funded | T1 | Fully allowed | Allowed (rare event restrictions) | +/-5 min (rare, dashboard-listed) | None | No | STATS | View |
| TradingFunds (FTUK) | T1 | Fully allowed | Fully allowed | None | None | No | PROPFIRMS | View |
| Velotrade | T1 | Fully allowed | Fully allowed | None | None | No | STATS | View |
| Audacity Capital | T2 | +/-3 min buffer (all programs) | +/-3 min buffer | +/-3 min | None | No | STATS | View |
| Blue Guardian | T2 | Fully allowed | 5-min buffer + FOMC | +/-5 min | Window profits may be voided | No | STATS | View |
| BrightFunded | T2 | Fully allowed | 10-min window (all funded) | +/-5 min | Profit deduction (soft breach) | No | PROPFIRMS | View |
| E8 Markets | T2 | Fully allowed (all products) | Unrestricted except E8 One | +/-5 min (E8 One) | E8 One: breach risk | No | PROPFIRMS | View |
| Evercrest Funding | T2 | Fully allowed | 1% initial-balance cap | +/-5 min | Profits above cap removed | No | STATS | View |
| FTMO | T2 | Fully allowed | +/-2 min buffer (Standard) | +/-2 min | None | No | — | View |
| FundedNext | T2 | Fully allowed | Profits at 40% split | +/-5 min | 40% on news profits | No | STATS | View |
| FundingRock | T2 | Hold only in window | Hold only in window | +/-2 min | None | No | STATS | View |
| IcFunded | T2 | Fully allowed | 3-min cool-off | +/-3 min | None | No | STATS | View |
| Maven Trading | T2 | +/-2 min window (Instant exempt) | +/-2 min window | +/-2 min | Profits in window voided | No | STATS | View |
| The Funded Way | T2 | PRO: fully allowed; Standard: allowed | PRO: unrestricted; Standard: restricted | Not published (Standard) | Not published (Standard) | No | STATS | View |
| The5ers | T2 | Allowed | 2-min buffer (High Stakes) | +/-2 min | None | No | STATS | View |
| Alpha Trader Firm | T3 | Fully allowed | Add-on required | +/-5 min (without add-on) | Violation = breach risk | Yes (paid on funded) | PROPFIRMS | View |
| MyFundedCapital | T3 | Fully allowed | Add-on required | Add-on dependent | Violation = breach risk | Yes (paid on funded) | PROPFIRMS | View |
| PropXP | T3 | Fully allowed | Add-on required | Add-on dependent | 1st: split cut to 50%; 2nd: breach | Yes (paid on funded) | STATS | View |
| TX3 Funding Fx | T3 | Add-on required | Restricted +/-5 min | +/-5 min | Violation = breach risk | Yes (paid on challenge) | STATS | View |
| EverTrader | T4 | Fully allowed | No open/close (hold only) | +/-6 min | Profits in window not counted | No | PROPFIRMS | View |
| FundingPips | T4 | Allowed (exploitation prohibited) | Hold only (10-min window) | 10-min window (Master) | Soft breach: profit deduction | No | STATS | View |
| Think Capital | T4 | Prohibited (most plans) | Prohibited (most plans) | +/-2 min (+/-5 min Bolt) | Breach + profit forfeiture | Yes (Lightning & Nexus only) | STATS | View |
| TradersYard | T4 | Not allowed (default) | Restricted (10 pre / 5 post) | 10 min before / 5 min after | Trades voided | Configurator opt-in | STATS | View |
| Tradexprop | T4 | Prohibited | Prohibited | +/-3 min | Account closure risk | No | STATS20 | View |
FTMO is listed without a promo code by policy. Promo codes shown are the official PropFirmStats partner codes.
What Counts as High-Impact News?
When prop firms talk about "news trading restrictions," they're referring to high-impact economic events — the red-impact entries on the ForexFactory calendar. These are scheduled releases that cause extreme volatility, wide spreads, and gap risk in the moments surrounding the release.
Red-Impact Events
- • Non-Farm Payrolls (NFP)
- • Consumer Price Index (CPI)
- • FOMC Rate Decisions & Press Conference
- • ECB Rate Decisions
- • Central Bank speeches (Powell, Lagarde)
Affected Instruments
- • USD pairs (EURUSD, GBPUSD, USDJPY)
- • XAUUSD (Gold)
- • US indices (US30, NDX100, SPX500)
- • Oil (WTI, Brent) during inventory data
- • JPY pairs during BOJ events
Why Firms Restrict
- • Extreme slippage on stop losses
- • Gap risk — price jumps past SL
- • Demo feed vs live feed divergence
- • Liquidity dries up during release
- • Spread widening can breach drawdown
The key issue is demo-vs-live feed divergence. During high-impact news, the demo server your challenge or funded account runs on may price differently from the live market. That creates arbitrage opportunities firms want to prevent — which is why even "allowed" firms apply buffer windows. They're protecting against demo feed lag, not punishing your strategy.
How to Trade News Safely on a Prop Account
Know your platform clock — buffers are in server/UTC time
Buffer windows (+/-2, +/-5, +/-6 min) are measured in server time, which is usually UTC. Don't assume your local time matches — a 2-minute buffer at 12:30 UTC means no trading from 12:28 to 12:32 server time. Check your platform's clock before the release.
Flatten before red news on Tier 2/3 firms
If you're on a Tier 2 or Tier 3 firm, close all positions before high-impact news. The risk of slippage breaching your drawdown or profits being voided isn't worth the potential gain. Tier 1 firms (Finotive, Funded Trading Plus, FXIFY) are the exception — you can hold freely.
Don't place SL too close to drawdown thresholds during news
Slippage during news can cause your stop loss to execute well beyond your set price — sometimes breaching your daily or total drawdown limit before the SL fills. PropXP explicitly warns about this: slippage can push you past your drawdown limit even with a stop in place. Give yourself extra cushion before red news.
Cancel pending orders inside restricted windows
Pending orders (buy stops, sell limits, stop entries) that sit inside a restricted news window count as violations at most firms — even if you placed them hours before. Think Capital and E8 One (funded) explicitly include pending orders and SL/TP fills in their prohibitions. A pending order that triggers during the buffer window is treated the same as a manual entry.
EA users: configure news filters
If you use an Expert Advisor, install a news filter plugin or configure your EA to pause trading around red-impact events. Automated entries inside restricted windows get flagged the same as manual ones — the firm's system doesn't distinguish between human and algorithmic trades. Most EAs support ForexFactory calendar integration.
Check the 5-hour and 48-hour exemption rules
Some firms soften the window for swing traders. FundingPips exempts trades opened 5+ hours before an event (profits count if closed inside the window), and BrightFunded exempts TP fills on trades held 48+ hours. If you're a swing trader holding through news, these exemptions can save your payout.
News Trading FAQ
Can you trade news on prop firm challenges?
At most firms, yes — the majority of restrictions only apply once you reach the funded stage. But there are important exceptions: Think Capital (Lightning, Dual Step Intraday, Nexus, Bolt), Tradexprop and TradersYard restrict or prohibit news during the challenge too, Maven applies a +/-2-min window on challenge accounts, and TX3 requires an add-on even during evaluation. Always check the firm's own help centre before your first red-folder release.
What happens if I trade news on a restricted account?
It depends on the firm's penalty model. Soft-breach firms (FundingPips Master, BrightFunded, EverTrader, TradersYard) deduct or void the profit from the trade — your account survives. Hard-breach firms (Think Capital, Tradexprop, TX3 without add-on, PropXP on a second violation) can terminate the account and forfeit profits. Split-penalty firms (FundedNext) count news-window profits at a reduced 40% split. Read the tier tables above to know which model applies before you trade.
Which prop firms allow news trading on funded accounts?
Fully unrestricted on funded accounts: Finotive Funding, Velotrade, FXIFY, TradingFunds (FTUK), IFUNDS, Funded Trading Plus, Sway Funded (by default), OFP (normal strategies) and SpiceProp. With buffers or profit caps: FTMO Standard (+/-2 min), FundedNext (40% split), BrightFunded (+/-5 min), IcFunded (+/-3 min), Evercrest (1% cap) and others listed in Tier 2.
Do pending orders count in news windows?
Yes — at virtually every firm with a buffer. Think Capital explicitly includes limit and stop orders in its prohibition, E8 One counts buy/sell stops, and a pending order that triggers inside a restricted window is generally treated the same as a manual entry. Cancel pending orders before the window opens — don't leave straddle orders sitting into NFP.
Is news trading worth it on a prop account?
It can be — news moves are some of the cleanest volatility in the market — but only on the right firm. On Tier 1 firms you keep 100% of the strategy's edge. On Tier 2 firms, run the math: a 40% split on news profits (FundedNext) or a 1% balance cap (Evercrest) can wipe out most of the expectancy. On Tier 3/4 firms, the risk of a voided payout or terminated account makes it a losing trade before you even click buy.
What is a news buffer window?
A fixed period around a high-impact release — usually +/-2, 3, 5 or 6 minutes — during which you cannot open, close, or modify trades on the affected instruments. Windows are measured in server time (usually UTC), so check your platform clock, not your local time. Some firms (TradersYard) use asymmetric windows like 10 minutes before to 5 minutes after.
Risk Disclaimer: PropFirmStats.com provides comparative analytics, reviews, and promotional data for educational purposes only. Proprietary trading evaluation accounts utilize simulated data and do not constitute financial advisory services or live capital brokerage. Trading involves substantial risk of loss. Past performance is not indicative of future results. All information on this website is for informational purposes only and should not be considered as financial advice. Please consult with a qualified financial advisor before engaging in any trading activities. News trading policies are verified against official firm documentation at the time of publication — firms can change their rules at any time, so always confirm the current policy in your firm's help centre before trading around high-impact events.
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