Waka Funding Review: Low Profit Split is The Least Of Your Concerns

Proprietary trading firms are known to be subject to weak regulatory oversight or no legal supervision at all. For that very reason, it’s crucial to understand that not all Forex prop trading platforms are genuine service providers. 

In order to find out more about this particularly suspicious company, keep reading our Waka Funding review and learn about safer investment options.

Nameless Firm Owners

The absence of legal documentation along with any corporate information is a clear sign that the company is hiding something. Although regulatory conditions enforced for financial service providers like brokers do not apply to funded trading platforms, they are obligated to follow at least some laws. 

When the firm doesn’t reveal crucial information about their parent company, registration number and address, they cast doubt on their entire conduct. 

That is the case with Formed Funding, as well, which we’ve reviewed recently. Both of these campaigns have lack of transparency in common, and that makes them extremely suspicious and not safe for any investment endeavors.

Anonymous Online

The firm has virtually no online presence, especially considering it’s around 6 months old at the time of writing this review. With the site launched in December 2023, you’d expect a large number of external links leading to it.

It is a staple of any online business to have social network profiles, but this doesn’t have any either, bar a single Instagram account. This begs the question, then – how does the firm with such poor funding conditions manage to find new traders?

The firm uses a boiler room strategy to contact potential victims directly, as many other fraudsters do. Unlike the usual scam call centers, though, this company relies mostly on online chat services like Telegram.

The Usual Fake Testimonials

The company website mentions some 250+ client testimonials being available. This turns out just to be a random number, since there’s no way to access these from the site.

Additionally, this Forex prop firm actively misrepresents its trust score as being full 5 stars. The only place where we found any Waka Funding reviews is TrustPilot, where the overall rating is 3,9 stars out of 17 separate testimonials.

Needless to say, this is in stark contrast to what you will find with a reliable company like MPFunds.

Starting the Journey: Demo Testing

The 1-Step Demo Evaluation Program requires traders to put their skills to a test and prove they have what it takes to trade with larger capital. 

While trading on the Waka Funding demo account, there’s a profit target of 10% to be reached, regardless of the number of days you will spend trading. During that phase, the maximum allowed drawdown is fixed at 8%, while that limit is set at 4% per day.

What makes the whole test somewhat easier is the fact that hedging, EAs and holding positions over the weekend is allowed. To enter the evaluation phase, traders have to pay a certain fee, which varies, depending on the funded amount they wish to unlock:

• 275$ – 25k capital
• 375$ – 50k capital
• 575$ – 100k capital
• 975$ – 200k capital

Experienced Trader Stage

The website defines the Waka Funding funded account as a “commission eligible paper trading account”. That pretty much defeats the purpose of the whole funded trading idea, as traders keep trading in a simulated environment. 

Furthermore, the firm explains that traders eventually keep trading on paper accounts, but are rewarded through performance commission. A portion of their simulated profits is paid through this commission and the split isn’t all that attractive in the beginning of the phase.

Trading Platform and Conditions

As if trading software matters the least, nothing gives even a slightest hint in the web presentation as to what platform is available. Moreover, the partner broker providing the live trading server is also not revealed. Everything is wrapped in a veil of secrets and you first need to purchase a Waka Funding login to get access to more info. 

Some of the trading terms are clarified, however. For example the leverage during the Waka Funding evaluation phase is set to 1:100, while the ratio decreases to 1:30 during the live trading stage. Commission on Forex pairs is set to $7 per turn, while other instruments only feature spreads.

Payouts and Transparency Issues

Profit split is one of the main competing points between mainstream prop trading firms. Waka Funding profit split, however, seriously lags behind competition.

The initial split is no higher than 50%, but should be incrementally raised every 14 days until it reaches the 80%. Even then, it is still lower than what some of the prop firms offer today.

Payouts are said to be available every 30 days, with a 48 hour payment processing time. During this time, the client accounts will be placed in a “read only” mode, preventing any trades from being executed.

Available methods allegedly include cryptocurrency transfers and bank wires, but this data is left unverified.

Final Thoughts

Although not a heavily regulated sector of the financial service business, proprietary trading firms must still be legally incorporated entities. This group is not, which means they are not a legitimate business. 

Any offer on their website serves only to further the fraudulent agenda they are peddling. The unusually long payout intervals are there to give the con artists more time to invent various excuses.

Consider our Prop Trading Solution!

If you’re one of millions of traders looking to improve your income, take a look at our offer. We pride ourselves in being one of the best Forex prop firms out there, and offer as much as $180,000 in funding for those retailers who got what it takes to excel on the markets. 

Don’t wait – book a free Zoom meeting with our representatives, and take the one true edge that every successful trader needs!

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