The Profit Buffer is a safety net that needs to be present in your account balance before you're eligible to request a payout at all. It's a cushion that protects the account, not something you can withdraw.
The first time your balance reaches the Buffer, your Max Drawdown locks permanently at your initial balance and never moves again, even if your balance falls below the Buffer later on.
To request a payout, first or any later one, your current balance needs to be back above the Buffer, plus the Minimum Profit Goal (1% of your Initial Account Balance) in new profit on top of it. If your balance ever drops back below the Buffer, you'll need to trade it back above that level again before your next payout is possible.
Example, on a $50,000 account:
Your Profit Buffer is $2,000 (equal to your Max Drawdown) and your Minimum Profit Goal is $500 (1% of $50,000).
The first time your profit reaches $2,000, your Max Drawdown locks permanently at your $50,000 starting balance and never moves again.
To request your first payout, you then need the $500 Minimum Profit Goal in new profit on top of the Buffer, so your profit must reach $2,500. The $2,000 Buffer stays in the account as your cushion, and the $500 above it is the profit that makes you eligible to request.
If your profit later dips to $1,600, you have dropped below the Buffer, so no payout is possible. You would first need to trade back above $2,000 to restore the Buffer, then add the $500 Minimum Profit Goal on top, reaching $2,500 in profit again before your next payout request.
Account Size | Profit Buffer |
$25,000 | $1,000 |
$50,000 | $2,000 |
$100,000 | $3,000 |
$150,000 | $4,500 |
