FundedNext Raises Leverage on Indices and Commodities Across All Stellar Accounts, Effective Immediately
FundedNext has raised leverage limits on indices and commodities across its entire Stellar account lineup, effective May 18, 2026. In a notable move for the prop trading space, the firm has applied the update to all currently active accounts—meaning traders already running challenges or funded stages receive the improved conditions without needing to repurchase their accounts.
The firm has framed the change as a restoration of trading conditions that were tightened earlier in 2026 during a period of elevated market volatility. With conditions now stabilizing, FundedNext is reopening position flexibility for both evaluation and funded traders across its index and commodity instruments.
The New Leverage Numbers: What Changed Across Stellar Models
The update covers three account structures: the Stellar 1-Step, 2-Step, and Lite models.
On Stellar 2-Step and Lite accounts, index and commodity leverage during challenges moves from 1:15 to 1:25. Funded account leverage on both instruments improves from 1:5 to 1:15—a tripling of the funded leverage ceiling for traders using these models.
The Stellar 1-Step accounts receive a more measured increase. Index challenge leverage rises from 1:5 to 1:10, with funded accounts matching that 1:10 level. Commodity challenge leverage moves from 1:10 to 1:15, and funded commodity leverage improves from 1:5 to 1:10.
| Account Type | Instrument | Phase | Previous | Updated |
|---|---|---|---|---|
| Stellar 2-Step & Lite | Indices | Challenge | 1:15 | 1:25 |
| Stellar 2-Step & Lite | Indices | Funded | 1:5 | 1:15 |
| Stellar 2-Step & Lite | Commodities | Challenge | 1:15 | 1:25 |
| Stellar 2-Step & Lite | Commodities | Funded | 1:5 | 1:15 |
| Stellar 1-Step | Indices | Challenge | 1:5 | 1:10 |
| Stellar 1-Step | Indices | Funded | 1:5 | 1:10 |
| Stellar 1-Step | Commodities | Challenge | 1:10 | 1:15 |
| Stellar 1-Step | Commodities | Funded | 1:5 | 1:10 |
Why FundedNext Reversed Its Leverage Restrictions
Earlier in 2026, FundedNext tightened leverage across several instruments in response to heightened index volatility and sharp commodity swings tied to macroeconomic and geopolitical pressures. Those reductions were positioned as temporary risk controls rather than permanent structural changes.
With market volatility now normalizing relative to the spikes seen earlier this year, the firm is restoring exposure limits. The decision aligns with a broader trend visible across top prop firms—platforms that tightened parameters in Q1 and early Q2 2026 are gradually reopening them as conditions stabilize.
What sets this update apart is the scope: FundedNext has confirmed the changes apply to all accounts already in progress. Traders midway through their evaluations or operating in live funded stages do not need to wait, repurchase, or migrate to receive the improved leverage terms. That stands in contrast to how many firms handle structural improvements, which are often reserved for new account purchases only.
The Evaluation-to-Funded Leverage Gap Is Narrowing
One of the persistent friction points in prop trading is the leverage disparity between challenge phases and funded accounts. Firms commonly offer competitive leverage during evaluations to attract new participants, then sharply reduce it once funding is granted. That structure forces traders to significantly adjust their strategies after passing—sometimes undoing months of careful calibration.
This update meaningfully narrows that gap at FundedNext. On the Stellar 2-Step and Lite models, funded index leverage climbs from 1:5 to 1:15, bringing it closer to the 1:25 available during the challenge phase. For traders running multi-position index systems or intraday execution strategies, that improvement in leverage continuity reduces the adjustment burden at the point of funding—a detail that matters considerably more in practice than it looks on paper.
What Gold and Commodity Traders Should Know
Traders specializing in gold (XAUUSD) and other commodity instruments will find this update particularly impactful. Gold has been one of the more margin-intensive instruments in the prop space over the past year, with wide intraday ranges creating pressure for accounts operating under restricted leverage conditions.
The increase to 1:25 challenge leverage and 1:15 funded leverage on commodities across the 2-Step and Lite models gives gold traders considerably more operational flexibility. Breakout strategies, session-open momentum plays, and short-duration setups that previously required pinpoint entry discipline to avoid margin strain now have more room to function as designed.
Commodities traders on the Stellar 1-Step model also benefit—funded commodity leverage improves from 1:5 to 1:10, which is a meaningful upgrade for traders who specialize in metals and commodity instruments rather than forex majors.
What This Means for the Broader Prop Industry
FundedNext’s decision to extend leverage improvements to all active accounts—not just new sign-ups—is the detail that carries the most significance beyond the specific numbers.
In a sector where traders constantly evaluate platform conditions and compare firms on granular criteria, the treatment of existing users communicates a firm’s real priorities. Platforms that reserve improvements for new purchases create a two-tier experience: new traders arrive to better conditions while existing ones operate under inferior terms. That dynamic, even when subtle, erodes loyalty and quietly accelerates account churn.
By rolling out the update universally, FundedNext avoids that friction entirely. Traders who stayed through the more restrictive early 2026 period are now rewarded without any additional action required on their part—a retention approach that is more effective than any discount or promotional offer.
More broadly, this move signals that the prop industry is entering a new phase after several months of defensive risk posturing. The volatility-driven restrictions of early 2026 appear to be unwinding, and prop firms are once again competing on trader-friendly conditions rather than capital protection. FundedNext’s announcement positions it ahead of that curve. Whether major competitors follow with their own leverage restorations in the coming weeks will be a key indicator of how broadly the sector is pivoting back toward usability.
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Source: Forex Prop Reviews
