FTMO 1-Step vs 2-Step: Which Challenge Is Better?

The decision in one sentence

Choose FTMO 2-Step when you value a wider daily-loss allowance and simpler concentration rules; consider 1-Step when avoiding Verification matters more and your returns are naturally distributed across multiple positive days.

See the full [FTMO profile](/firms/ftmo) before checkout.

Rule comparison

| Feature | FTMO 1-Step | FTMO 2-Step | |---|---:|---:| | Evaluation phases | 1 | 2 | | Profit target | 10% | 10% then 5% | | Maximum daily loss | 3% | 5% | | Maximum loss | 10% trailing EOD | 10% | | Best Day rule | Maximum 50% | Not listed as the core 2-Step objective | | Time limit | Unlimited | Unlimited | | Published reward | 90% | 80%, up to 90% | | Fee after success | Non-refundable | Refund described with first reward |

Why 1-Step is not automatically easier

Removing one phase reduces the number of milestones, but it does not remove risk constraints. The 3% daily-loss limit gives less room for floating drawdown, and the Best Day rule means one exceptional day cannot represent more than half of positive-day profit when passing or requesting a reward.

Example: if your best positive day is $1,000, your total positive-day profit needs to reach at least $2,000 for that day to represent 50% or less. Losing days do not fix concentration.

Why 2-Step can be more forgiving

The published 5% maximum daily loss offers more intraday room, while the 10% and 5% targets split the evaluation. The cost is an additional Verification phase and an initial 80% reward ratio unless scaling or premium conditions raise it.

Strategy fit

1-Step may fit:

• traders with low daily variance;
• strategies producing several comparable positive days;
• traders willing to monitor an end-of-day trailing threshold.

2-Step may fit:

• swing or discretionary traders needing more daily room;
• traders who prefer static-looking objectives;
• traders who value fee refund eligibility after success.

Before choosing

Model both products using your last 60–100 trading days. Recalculate results with FTMO’s timezone, floating P&L and commission treatment. If your historical data would violate either product, a discount does not make it suitable.

Sources: official product comparison FAQ, 2-Step objectives, 1-Step objectives.

Related: [general one-step vs two-step guide](/blog/one-step-vs-two-step-prop-firm-challenge) and [drawdown rules explained](/blog/prop-firm-drawdown-rules).