The Maximum Trailing drawdown is the maximum your account can drawdown before you would hard breach your account.  When you open the account, your Max Trailing Drawdown is set at 5% of your starting balance.  This 5% trails your closed trading balance until you reach 5% profits in your account. Once you have achieved 5% in your account the max trailing locks in at your starting balance, and no longer trails your account. This is both to protect our capital and allow you to infinitely grow your account along with your buffer, to make your trading more and more stress free. Example: If your starting balance is $100,000, you can drawdown to $95,000 before you would violate the Maximum Trailing Drawdown rule. Then for example, if you grow your account to $102,000 in closed balance, your new Maximum Trailing Drawdown would be $97,000. If you then grow your account to $115,000, your Maximum Trailing Drawdown is locked in at your initial starting balance ($100,000). This means you can experience a 15% drawdown before you would hit your Maximum Drawdown. Do note that the 4% Daily Drawdown will continue to be in play at all times.