The Risk Shield is an automatic risk protection mechanism built into FXRK funded accounts. Its purpose is to intervene when risk levels are detected that are not considered compatible with professional trading or with a trading model that can be potentially replicated over time.
What the Risk Shield is and when it is triggered
The Risk Shield continuously monitors the difference between the account balance and equity of the funded account.
If at any moment the accumulated floating loss reaches 2% of the funded account’s initial balance, the system is triggered and automatically closes all open positions.
This percentage is always calculated based on the funded account’s initial balance, regardless of any profits or losses generated afterward.
Practical example
Funded account of 100,000 USD.
The Risk Shield threshold is 2,000 USD, which corresponds to 2% of the initial balance.
If the equity drops to 98,000 USD due to floating losses, the Risk Shield is triggered and all open positions are automatically closed at the available market price.
This same 2,000 USD threshold remains in place even if the account balance has increased or decreased during previous sessions.
Operational interpretation of the Risk Shield
Its activation indicates a high level of risk and a loss of control over the account’s floating exposure.
FXRK does not consider the activation of the Risk Shield to be part of normal trading activity or an appropriate practice within a sustainable risk management framework.
The activation of the Risk Shield is taken into account as a signal within the overall analysis of the trader’s behavior and risk profile.
When the Risk Shield is triggered:
All open positions are closed immediately.
The account remains active, and the trader can continue trading by opening new positions once the automatic closure is completed.
Important clarifications:
The Risk Shield does not replace the use of stop loss or proper risk management.
It does not replace daily loss limits or total loss limits.
It can be triggered more than once on the same account, although it is not designed for that purpose.
The process is fully automatic and cannot be modified or disabled.
The Risk Shield:
Applies exclusively to funded accounts.
Is not active during evaluation Challenges.
Applies only to funded accounts created on or after 18/12/2025.
Funded accounts created before that date do not include this system.
If a Challenge was purchased before 18/12/2025, but the account is funded on that date or later, the funded account will have the Risk Shield active.