Funding models · Rookie
Account size
Also searched as: buying power, nominal capital
What does Account size mean?
Account size is the balance or buying-power label assigned to a trading program. It can be a simulated figure and is distinct from the amount the trader is permitted to lose.
Example
A $50,000 account with a $2,000 loss allowance cannot absorb a $50,000 loss.
Illustrative example; not a provider’s quoted offer.Why it matters for prop traders
Compare the loss allowance and position limits alongside the headline account size.
Account size versus loss allowance
Illustrative comparison: $50,000 of nominal account size with a $2,000 maximum loss allowance leaves $2,000 of initial room under that rule. A planned $250 loss consumes 12.5% of that allowance, although it is only 0.5% of the headline account size. Daily limits, commissions and trailing changes can further restrict usable room.
Sources and further reading
The following primary sources support the terminology. Provider rules describe their own products and may change.