Is Hedging Allowed at BrightFunded?
The Simple Answer
Yes, on the same account. BrightFunded permits holding both buy and sell positions on the same instrument within one account. However, hedging the same instrument across two or more accounts is strictly prohibited, and the ban also covers hedging between different prop firms and across different trading platforms linked to your profile.
What Is Allowed and What Is Not
How Hedging Works at BrightFunded
BrightFunded permits hedging within one account and gives a clear example: buying 1 lot of EURUSD and later selling 1 lot of EURUSD in the same account to manage risk. Therefore a same account hedge aligns with the firm’s risk management policy.
The prohibition begins across accounts. Specifically, holding the same instrument long on one account and short on another is inter account hedging and is banned, and this includes replicating the structure through a copy trader or an EA. As a result, mirroring a hedge across accounts is treated the same as opening it manually.
Moreover, the reach extends outward. Hedging between BrightFunded and a different prop firm is prohibited, and so is opening opposite positions on the same instrument across two platforms linked to your BrightFunded profile. Consequently the rule follows the trader, not just the single account.
What Counts as a Breach at BrightFunded
Cross account hedging triggers a staged penalty. On first detection, whether in Phase 1, Phase 2 or a Funded Account, the involved accounts receive a soft breach with a warning and all trades closed. This soft breach is a one time warning, and it only applies to a single trade between accounts.
On a second detection, or where two or more trades are involved at once, the accounts are permanently breached and closed. By contrast, a hedge kept inside one account does not breach at all, so the reliable approach is to hold both legs on the same account.
Final Comments
Overall, BrightFunded is generous with single account hedging and strict about everything beyond it. In short, hold both legs on one account and the hedge is permitted, while inter account, cross firm and cross platform hedges are prohibited. By contrast with firms that only warn, BrightFunded escalates from a one time soft breach to a permanent hard breach, so a repeat is costly.
Related Pages
FAQ
Is hedging allowed at BrightFunded?
Yes, within the same account. You can hold both buy and sell positions on the same instrument in one account. Hedging across accounts is strictly prohibited.
Can I copy a hedge across two BrightFunded accounts?
No. Replicating a hedge across accounts, whether manually or via a copy trader or EA, is treated as inter account hedging and is prohibited.
Does BrightFunded ban hedging against another firm?
Yes. Hedging the same instrument between BrightFunded and a different prop firm is strictly prohibited, and so is cross platform hedging within your profile.
What is the penalty for cross account hedging?
A first detection is a one time soft breach with trades closed and a warning. A second detection, or two or more trades at once, results in a permanent hard breach.