Three kinds of news rule
News rules fall into three types. A window rule bans execution around events. A profit-adjustment rule lets you trade but discounts the result. A behavior rule allows news trading but reserves a review right if news is your only edge. The programs read use all three, and a trader who treats them alike can lose profit or an account.
The5ers: execution window
The5ers allows open trades to be held through news on all programs. It prohibits executing orders from two minutes before to two minutes after high-impact news, using Forex Factory for events and server time for the clock. Profits made in that window are deducted from the account and do not count toward the target, and losses are absorbed by the trader. The practical issue is modification, not only entry. Check whether stop moves or partial closes fall under executing orders, and ask support in writing.
FundedNext: profit split
FundedNext's funded account applies a news profit split. Trades placed within five minutes before and after a high-impact event on a correlated pair count for 40% of their profit. Losses remain fully the trader's responsibility. The result is asymmetric: a news winner is cut to 40% and a news loser is not. A trade that makes 1,000 dollars counts for 400, and one that loses 1,000 still costs 1,000.
Alpha Capital: no open or close
Alpha Capital allows news trading with a five-minute window on both sides. You may not execute a new trade or close an existing trade on the targeted instrument from five minutes before until five minutes after the release. Closing is blocked as well as opening, so a stop-loss placed before the event is the main tool. A position left open through an event is exposed to the move with no manual exit.
The Trading Pit: allowed, with review
The Futures Prime rules article states that news trading is allowed in both phases and warns of heightened volatility. It also says the risk team may review accounts that trade only around news in a way that resembles gambling or an attempt to exploit extreme volatility. The pack's earlier note that news rules differed is therefore corrected for Futures Prime. The Classic program was not re-read.
How to test a strategy against news rules
List the high-impact events your instruments react to. Mark every entry, exit and stop modification that falls inside each firm's window. Compute profit inside the window and apply the firm's treatment. A strategy that earns a large share of profit around releases can lose most of it to a profit split or a window. The page on news event risk explains slippage that adds to the damage.
Slippage and spreads around news
Even where news trading is allowed, spreads widen and fills slip. The Trading Pit warns that slippage can push a loss past the daily pause and the drawdown. An equity-based floor can be breached by a spike, which is why intraday equity matters more around events than a closed-trade backtest shows.
A worked example
A trader makes three trades around a release on a funded account. Two are inside the window: a winner of 800 dollars and a loser of 300. The third is outside the window and earns 500 dollars. The raw result is 1,000 dollars. Under a FundedNext-style split, the 800 dollar winner counts for 320, the loser still costs 300, and the outside trade counts in full, so the counted result is 520 dollars, a little over half of the raw figure. Under a The5ers-style window, the in-window profit would be removed while the loss is absorbed, which cuts the counted result further. The same trades produce different results under different rules, so a news-heavy strategy needs a rule-specific test before purchase.
Questions to put to support
Ask in writing: which events count as high impact and which calendar is used, whether stop moves and partial closes fall inside the window, whether the rule applies to the evaluation, the funded stage or both, and how a violation is handled. Keep the reply with its date. Rules around automation can interact with these, so also read the page on automation rules.
What to do if you must trade events
If your edge depends on releases, pick a firm whose rule is a review right rather than a window or a profit split, and size positions so that a spike cannot reach the equity floor. Avoid relying on a manual exit during a blocked window, and place protective stops before it opens.
How this was sourced
Official material checked for this draft on 2026-10-27. Product terms, residence eligibility, promotions, payout rules and fees can change. Reverify before publishing or purchasing.
Editorial disclosure
QuantProp has no verified commercial relationship with the firm(s) discussed in this article. This is an independently drafted rules comparison, not an endorsement or proof of payout reliability. No affiliate links are active. Trading evaluations can involve fees and substantial loss or failure risk.
Revision log
2026-10-28: imported from the editorial pack dated 2026-10-27; approved for publication by the owner. Facts are as of 2026-10-27 and were not independently tested. 2026-10-28: Link /guides/prop-firm-effective-risk-budget/ replaced by /compare/prop-firm-risk-budget/: the target did not exist in the pack or on the site. 2026-10-28: Rewritten from a 300-word template using news rules read on official pages on 2026-10-28 (The5ers, FundedNext, Alpha Capital, The Trading Pit). Corrected the pack: The Trading Pit allows news trading on Futures Prime. Added a window table, worked examples and Q&A.
At a glance
| Firm | Window | What is restricted | Consequence |
|---|---|---|---|
| The5ers High Stakes | 2 minutes before to 2 minutes after high-impact news | Order execution; holding through news is allowed | Profits in the window are deducted; losses absorbed |
| FundedNext (funded account) | 5 minutes before and after high-impact news on a correlated pair | Trades placed in the window | Only 40% of profit counts; losses remain |
| Alpha Capital | 5 minutes on both sides of the event | Opening a new trade or closing an existing one on the targeted instrument | Rule breach procedures apply |
| The Trading Pit Futures Prime | No window stated | Allowed in both phases; pattern review for news-only trading | Risk team review |
| FTMO, Topstep, Apex | Not read | Not read | Not read |
Frequently asked questions
Can I trade news at prop firms?
Often, but with rules. The5ers bans order execution within 2 minutes of high-impact news, Alpha Capital blocks opening and closing within 5 minutes, FundedNext discounts news profit to 40% on funded accounts and The Trading Pit allows it on Futures Prime.
What happens to news profits at The5ers?
Profits made inside the two-minute window are deducted from the account and do not count toward the target. Losses are absorbed by the trader.
Can I hold a trade through news at The5ers?
Yes. Holding open trades over news is allowed on all programs, but executing orders from 2 minutes before to 2 minutes after high-impact news is prohibited.
Does Alpha Capital let me close a trade during news?
No. You may not open a new trade or close an existing one on the targeted instrument from five minutes before until five minutes after the announcement.
Where do I check the news rule for a firm not listed?
On the firm's official rules article for your exact plan. FTMO, Topstep and Apex news rules were not read for this page, so ask support and keep a dated reply.