PipFarm Introduces Pip Protector Max Risk (Version 2)

Max Risk tracks the total amount an account has lost—both realised and unrealised—at any given time within a Risk Window. The metric runs in real time from the Dashboard and is expressed as a percentage of the account's starting balance, with enforcement rules that differ by account type.

The system is built around a Max Risk Reference Balance, a Risk Window and a Max Risk Limit. When the first position is opened, the Dashboard records the current account balance as the Reference Balance, which acts as a high-water mark. If a profitable trade later takes the balance to a new high within the same Risk Window, the Reference Balance rises to match it, so profits do not increase the available room to lose.

A Risk Window starts when the first position is opened and does not end simply when positions are closed. It resets only after the account has been flat for a continuous 60 minutes, a phase called Cooling Down. Once the cooldown is complete, the next trade opens a new Risk Window.

Max Risk limits, expressed as a percentage of the starting balance, vary by account type:

• Most simulated funded accounts: 2% limit, enforced through the Pip Protector strike system with three strikes.
• 50K, 100K and 150K Instant accounts created on or after 13 June 2026: 1% limit, also under Pip Protector with three strikes.
• Pay with Profits Challenge: 3% limit, treated as a hard breach.
• Pay with Profits simulated funded account: limit set by Risk Tier, treated as a hard breach.

During the Challenge phase on Pay with Profits accounts, Max Risk is also used to calculate the trader's Risk Tier, which in turn determines the PWP Fee and Profit Share.

When combined realised and unrealised losses within a Risk Window reach the limit, all open positions are closed automatically. For challenge-promoted and Instant simulated funded accounts, a Pip Protector strike is recorded, the Max Risk Limit is halved, and consequences escalate with each subsequent strike. For Pay with Profits accounts, the account is terminated immediately, with no strikes or escalation.

The Dashboard has three relevant states: default/ready when no positions are open, Open Risk when positions are open and current risk utilisation is shown, and Flat/Cooling Down, which displays a countdown until the Risk Window resets. Related documentation covers the Pip Protector strike system, Trade Idea definitions, and the Pay with Profits programme.