Does Instant Funding's Profit Target (Phase 2) include unrealized profits?

No, only realized profits count toward Instant Funding's 5% profit target. Your open positions' floating P&L does not contribute to target progress. You must close profitable trades to have those gains count toward your Phase 2 completion.

What happens if I breach the Profit Target (Phase 2)?

You cannot breach the profit target rule itself, but failing to achieve 5% profit means you cannot progress to a funded account. Your Phase 2 evaluation will remain incomplete until you reach the required profit level. There's no time limit, so you can continue trading until you achieve the target.

Does the profit target reset if my account balance changes?

No, the 5% profit target is always calculated from your initial Phase 2 starting balance. If you start with $100,000, you need $5,000 profit regardless of whether your current balance is $95,000 or $105,000. The target amount remains fixed at the original calculation.

Is profit target calculated on balance or equity?

The profit target is calculated on your initial Phase 2 account balance, not current equity. Your starting balance determines the fixed dollar amount needed (5% of that balance). Current equity fluctuations from open positions don't change your target requirement.

Updated 2026-03-08

Instant Funding Profit Target (Phase 2) Rule Explained

Instant Funding

Quick Answer

Instant Funding's Profit Target (Phase 2) requires traders to achieve 5% profit based on initial account balance.

The 5% profit target is calculated from your starting Phase 2 balance, not your current equity. You must reach this profit level to pass Phase 2 and receive your funded account. Failing to achieve this target means you cannot progress to funded status.

Key Rule Details

Target

Dollar Target ($100,000)

$5,000

Phase

Phase 2 only

Time Limit

None

Min Days

3 days

Calculation Example

Account Size: $100,000 — Profit Target (Phase 2): $5,000

Account Size	$100,000
Profit Target (Phase 2) Limit	$5,000
Scenario: Closed P&L	$3,000
Scenario: Floating P&L	$0
Total Exposure	$3,000
Remaining Buffer	$2,000

Limit used:60%

Common Mistakes

Counting Unrealized Profits

Traders often assume their floating profits count toward the 5% target before positions are closed. At Instant Funding, only realized profits contribute to your profit target progress. If you have $2,000 in unrealized gains on a $50,000 account but haven't closed positions, you're still at 0% toward your 5% target.

Miscalculating Target Amount

Some traders calculate the profit target from their current balance instead of the initial Phase 2 balance. On a $100,000 account, the target is always $5,000 regardless of current equity. If your account grows to $103,000, you still need $5,000 total profit from the original balance, not 5% of $103,000.

Stopping at Minimum

Traders sometimes hit exactly 5% and immediately request funding without considering potential drawdown. If you achieve exactly $2,500 profit on a $50,000 account but then lose $200, you're below the target and cannot pass Phase 2. Building a small buffer above 5% prevents this issue.

Ignoring Time Pressure

Traders focus solely on the profit target while ignoring Instant Funding's minimum trading days requirement. You need both 5% profit and to meet the 3-day minimum trading requirement. Rushing to hit 5% in one day means you'll still wait additional days before qualifying for funding.

Protection Strategies

Set Personal Target at 6%

Aim for 6% profit instead of the minimum 5% to create a safety buffer. On a $100,000 account, target $6,000 rather than $5,000. This extra $1,000 cushion protects against small losses that could drop you below the required threshold before funding approval.

Use 1% Daily Risk Limit

Risk maximum 1% of account value per day to ensure steady progress toward the 5% target. On a $50,000 account, limit daily risk to $500. This conservative approach takes 5-7 trading days to reach the target while minimizing large drawdown risks that could derail your evaluation.

Set 4% Profit Alert

Configure alerts when you reach 4% profit to prepare for final push to 5%. On a $200,000 account, set your alert at $8,000 profit. This gives you time to plan your final trades carefully and avoid overtrading when you're close to passing Phase 2.

Avoid Friday Close Trades

Don't open new positions on Friday afternoons when approaching your 5% target. Weekend gaps can turn profitable positions into losses, dropping you below the required threshold. If you're at 4.8% on Friday, wait until Monday to make final moves toward the 5% target.

Related Rules

Profit Target (Phase 1)

Instant Funding Comparisons

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Frequently Asked Questions

Disclaimer: This guide is for informational purposes only and does not constitute financial advice. Prop firm rules change regularly — always verify current terms on Instant Funding's official website before purchasing a challenge. Updated 2026-03-08.