Retroactive Strategy Veto
Profits can be removed after the fact if the strategy is later ruled prohibited — winning first does not protect you.
Applies to 3 firms • Commercial & Legal • FUNDED + PAYOUT
Prev: Refunds & Chargeback PolicyNext: Restricted Countries & KYCDeep Dive
Why this rule exists
Terms reserve the right to review strategy at payout and void cycles built on banned patterns. Trades execute normally live, then compliance removes theвью portion attributed to latency, grid, hedging, or copied signals. One discussed case involved a funded trader whose cycle was voided after review found mirrored cross-account hedging. No live warning appears because detection is forensic. The only defense is trading a strategy that survives plain-English description: one idea, one stop, human-scale frequency.
How traders get caught
This rule is often buried in FAQ or enforced only at payout review — not on the pricing page. Check the exact firm wording before assuming the headline covers your case.
How to stay safe
Verify the firm terms excerpt, keep evidence logs of your setup, and test edge cases in the simulator before sizing up.
The Formula
How it is calculated
Real Dollar Example
On a $100K funded account you bank $8,000 in a month, but $6,000 came from 1-second grid bursts and $2,000 from clean swings. Review voids the $6,000 grid portion and pays $2,000 minus split — $8,000 headline becomes $1,600 at 80%. Clean $3,000 all-swing would have paid $2,400 with no dispute.
Common Traps & Mistakes
Assuming live fills equal approval — review happens later.
Mixing one banned burst into a clean month and tainting the whole cycle.
Deleting EA logs before review — missing evidence reads as concealment.
Firms using this rule
Rule FAQ
Frequently Asked Questions: Retroactive Strategy Veto
What is the Retroactive Strategy Veto?
Profits can be removed after the fact if the strategy is later ruled prohibited — winning first does not protect you.
How is Retroactive Strategy Veto calculated across prop firms?
Net Payable = Gross Profit - Profit Attributed to Prohibited Pattern
What are the most common mistakes traders make with Retroactive Strategy Veto?
Assuming live fills equal approval — review happens later. Mixing one banned burst into a clean month and tainting the whole cycle. Deleting EA logs before review — missing evidence reads as concealment.
Related guides
Keep learning this cluster
Prohibited Strategies List
Latency arbitrage, tick scalping, grid martingale, and account hedging void profits at review.
80% Margin Gambling Rule
If used margin ever exceeds 80% of equity, the account is flagged as gambling — even without a drawdown breach.
Payout Gates & Profit Split
The 6 checks that hide your payout button: profit, days, consistency, buffer, KYC, and caps.
Complaints & Appeal Process
Denied payouts have a paper-trail appeal — evidence quality decides, not anger.
All 41 guides
Try it live
Simulate this rule interactively with your starting capital and drawdown constraints using our real mathematical risk engine.
Open Interactive SimulatorDeterministic — exact firm formulas