The EOD trailing threshold is the mechanism by which WeGetFunded recalculates every night the maximum allowed loss on a One-Step Challenge, based on the account equity recorded at 00:00 GMT. According to WeGetFunded’s terms and conditions, this threshold rises with equity until the initial loss is fully recovered, after which it locks permanently at the account’s starting balance.
A calculation made once per night, not continuously
Contrary to a common assumption, the EOD drawdown does not monitor the account in real time during the trading session. It is based on a single snapshot of equity, taken at the close of the previous day. WeGetFunded’s terms state this without ambiguity: “EOD drawdown refers to the maximum allowable loss, calculated from your account equity at the end of the previous day (00:00 GMT)”. In practice, a large floating loss during the session is only accounted for in this calculation once the day closes, not at the moment it occurs.
Why the threshold is called trailing on the One-Step Challenge
On this format, the drawdown threshold is not fixed from day one. It trails equity upward, night after night, as long as the account has not fully recovered its initial loss. WeGetFunded describes this mechanism as follows: “For the One-Step Challenge, the drawdown is trailing on an End of Day (EOD) basis until it is fully covered, after which it becomes fixed at the starting balance”. In other words, as long as the trader remains below their starting capital, the floor of allowed loss moves upward with them each night; once that starting capital is reached or exceeded, the floor stops moving permanently.
The numerical example from the terms and conditions
WeGetFunded illustrates this lock with a concrete case. For a starting account of 100,000 dollars that grows to 106,000 dollars, the document states: “Example: Starting capital: 100,000 dollars. You reach 106,000 dollars. The drawdown is then locked at 100,000 dollars and no longer moves up”. The table below walks through this sequence step by step.
| Stage | Account equity | EOD drawdown threshold |
|---|---|---|
| Challenge opening | 100,000 dollars | Set below starting capital |
| Growth phase | Between 100,000 and 106,000 dollars | Rises each night with equity |
| Threshold reached | 106,000 dollars | Locked at 100,000 dollars, no longer rises |
Once this lock is reached, any further increase in equity beyond 106,000 dollars has no more effect on the threshold: it remains fixed at the starting balance for the rest of the challenge.
What a withdrawal changes on the threshold
A withdrawal does not lower the drawdown threshold or recalculate it downward. WeGetFunded states that “when a withdrawal is made, the maximum drawdown will automatically be set at the account’s starting balance”. It is therefore the available margin between equity and this threshold that decreases after a withdrawal, not the threshold itself moving down.
The difference with the classic maximum drawdown
The EOD trailing threshold should not be confused with the maximum drawdown as it exists on other formats or other firms. WeGetFunded specifies that “the maximum drawdown is the total amount you can lose relative to your account’s starting balance. Unlike the daily drawdown, which resets every day, the maximum drawdown applies to your entire trading period”. The EOD trailing threshold, on the other hand, is neither strictly daily nor purely fixed from the start: it moves upward and then freezes, which makes it an intermediate mechanism specific to the One-Step Challenge.
What this mechanism does not document: regulatory leverage limits
It is worth distinguishing this internal contractual mechanism from the European regulatory framework on real CFDs, which addresses an entirely different subject: the leverage limit granted to a retail client. The European Securities and Markets Authority (ESMA) notes that its measures set “leverage limits on opening a position ranging from 30:1 to 2:1, which vary according to the volatility of the underlying asset: 30:1 for major currency pairs”. For its part, the French Autorite des Marches Financiers (AMF) notes that “leverage is a multiplier of gains or losses”. Both texts describe a protection for retail investors trading real CFDs with a regulated broker; they describe nothing about the internal workings of a prop firm drawdown on simulated capital, and should not be cited as evidence of any threshold mechanism at WeGetFunded.
Frequently asked questions
Does the EOD drawdown move during the trading session?
No. It is recalculated only once per day, based on the equity recorded at 00:00 GMT, not continuously while the market is open.
Can the threshold move back down after rising?
No. Once the initial loss is fully recovered, the threshold locks at the account’s starting balance and no longer rises, even if equity keeps growing afterward.
Does a withdrawal lower the drawdown threshold?
No. The threshold remains fixed at the account’s starting balance after a withdrawal; it is the available margin above that threshold that shrinks.
Is the EOD trailing threshold the same as the maximum drawdown?
No. The maximum drawdown applies only once relative to the starting balance over the entire period, while the EOD trailing threshold moves upward each night before freezing.
To go further on WeGetFunded’s contractual mechanisms, see also the Daily PNL Cap and the 30% consistency rule and the CFD margin close-out at 50%.