The Maximum Loss Limit (MLL) is your account’s hard stop. It sets the lowest equity level you must stay above at all times. If your Net Equity (realized + unrealized P&L) touches or falls below the MLL, the account is immediately breached and closed.
At Alpha Trader Futures, the MLL is 3% of the account size. It trails upward daily with your highest end-of-day balance.
📏 MLL by Account Size (3%)
Account Size | Maximum Loss Limit |
$50,000 | $1,500 |
$100,000 | $3,000 |
$150,000 | $4,500 |
Applies to: 1-Step Evaluations, Instant Funding, and Funded Accounts.
🧮 How the MLL is calculated (Trailing)
Initial MLL = Starting Balance − 3%
Example: $50,000 − $1,500 = $48,500At the end of each trading day, if your account’s end-of-day high increases, the MLL adjusts upward (EOD High − 3%).
Example – $50K Account (MLL = 3% = $1,500):
Day 1: +$500 → Balance $50,500 → MLL = $49,000
Day 2: −$300 → Balance $50,200 → MLL stays $49,000
Day 3: +$1,200 → Balance $51,700 → Calc = $50,200
⏱️ When is the MLL evaluated?
The MLL value is calculated and updated after the trading day ends.
Real-time monitoring: If your equity falls to or below the MLL intraday, your account is breached immediately and positions are flattened.
🔎 Always watch your Net Liquidating Value (NLV) in your trading platform. That’s the number compared to the MLL.
🛡️ Funded Account Safety Net
In Funded Accounts, traders must also maintain a 3% safety net for their first 5 payouts.
On a $100K funded account, you must maintain at least $3,000 in equity.
This ensures funded accounts always maintain adequate capital protection during the early payout stages.
⚠️ What happens if I breach the MLL?
Evaluation (1-Step): Account becomes ineligible. You’ll need a reset to continue.
Instant Funding or Funded: Account is closed immediately at breach. New orders will be rejected.
🔧 Can the MLL be adjusted?
No. The MLL is a fixed risk parameter and cannot be altered.
💸 Do payouts change the MLL?
Your remaining account capital becomes the cushion you can risk.
Funded accounts must also maintain the 3% safety net during the first 5 payout cycles.
🧠 Quick Distinctions
MLL (3%) = account equity floor
Safety Net (3%) = applies to Funded Accounts only for the first 5 payouts.
Max Open Loss (Instant Funding) = You cannot exceed a 1% open loss on the account balance at any time