---
title: "What is relative or trailing drawdown? - Get Funded Now"
description: "A relative or trailing drawdown can move as the account reaches new performance highs according to the rules of the specific program."
url: "https://getfundednow.com/faq/what-is-trailing-drawdown"
language: "en"
last_modified: "2026-09-22"
publisher: "Get Funded Now (getfundednow.com)"
translations:
  es: "https://getfundednow.com/es/faq/what-is-trailing-drawdown"
  pt-BR: "https://getfundednow.com/pt-br/faq/what-is-trailing-drawdown"
  fr: "https://getfundednow.com/fr/faq/what-is-trailing-drawdown"
  it: "https://getfundednow.com/it/faq/what-is-trailing-drawdown"
  de: "https://getfundednow.com/de/faq/what-is-trailing-drawdown"
disclosure: "All trading at Get Funded Now is simulated. 'Funded' means a simulated or virtual account; GFN is not a broker and does not hold client funds."
---

Drawdown & risk

# What is relative or trailing drawdown?

A relative or trailing drawdown can move as the account reaches new performance highs according to the rules of the specific program.

[← All questions](https://getfundednow.com/faq)

## The full answer

A relative or trailing drawdown can move as the account reaches new performance highs according to the rules of the specific program.

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## Explained in full

- [Trailing Drawdown Rules](https://getfundednow.com/rules/trailing-drawdown) - The rule, explained - A trailing drawdown follows your equity high upward. Instant uses 5% trailing - $5,000 on a $100,000 account. The 2 Step drawdown never trails.
- [Non-Trailing Drawdown](https://getfundednow.com/rules/non-trailing-drawdown) - The rule, explained - The 2 Step uses a 8% non-trailing drawdown: the stop-out level sits at $92,000 on a $100,000 account and never moves.

## Terms used in this answer

[Trailing drawdown](https://getfundednow.com/glossary/trailing-drawdown)

## Related questions

- [What is fixed drawdown?](https://getfundednow.com/faq/what-is-fixed-drawdown) - Drawdown & risk - A fixed drawdown level is calculated relative to a defined account level and does not continue trailing upward simply because the account makes additional profit.
- [Can open positions cause a Maximum Drawdown breach?](https://getfundednow.com/faq/can-open-positions-breach-max-drawdown) - Drawdown & risk - Yes. Account equity matters when monitoring trading risk.
- [What happens if the account touches the Maximum Drawdown level?](https://getfundednow.com/faq/what-happens-if-i-touch-max-drawdown) - Drawdown & risk - If your account reaches or exceeds the defined hard breach limit according to the program's calculation method, the account can be breached.
- [Can profitable trades offset a previous breach?](https://getfundednow.com/faq/can-profits-offset-a-previous-breach) - Drawdown & risk - No. Once a hard breach has occurred, a later market recovery does not undo it.

## More answers on trailing drawdown rules

- [What is the maximum drawdown on the 1 Step?](https://getfundednow.com/faq/1-step-maximum-drawdown) - 8% as standard, or 10% with the optional drawdown add-on at checkout.
- [Can taking a payout affect my drawdown buffer?](https://getfundednow.com/faq/does-a-payout-affect-my-drawdown-buffer) - Yes - depending on your account's drawdown structure, withdrawing profits can reduce the cushion between your current balance and the breach level.
- [Is Maximum Drawdown the same on every GFN plan?](https://getfundednow.com/faq/is-max-drawdown-the-same-on-every-plan) - No. Different plans can use different Maximum Drawdown limits and calculation methods.

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Source: https://getfundednow.com/faq/what-is-trailing-drawdown
Facts about Get Funded Now in one file: https://getfundednow.com/llms.txt