Lark Funding 3-Step $200000 Trading Challenge – No Daily Drawdown Challenge Review – $200,000 3-Step Account | PropTradingArea
Difficulty Meter Free sign up to unlock
DIFFICULTY METER
4.8 / 10
Moderate
OVERALL PASS RATE Free sign up to unlock
OVERALL PASS RATE
20.8 %
Average

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Lark Funding

3-Step

3-Step Challenge Static Drawdown
Account Size $200,000
Price $700

Targets & Drawdowns

Profit Target Step 1 5.0%
Profit Target Step 2 4.0%
Profit Target Step 3 3.0%
Daily Drawdown 0.0%
Max Drawdown 5.0%
Drawdown Type Static

Rules

Time Limit Unlimited
Profit Split 80%
Payout Frequency BI-weekly

Additional Rules

3-phase evaluation model: Traders must pass 3 consecutive phases with decreasing profit targets (5%, 4%, 3%), rewarding consistency over time.

No daily drawdown: There is no daily loss limit in any phase, allowing full intraday flexibility without risk of instant stop-out.

Static maximum drawdown: A fixed 5% maximum drawdown is applied across all phases and is based on balance.

Tight risk structure: The 5% drawdown is relatively strict, especially considering the total required profit across all phases.

No minimum trading days: Traders can complete the challenge as quickly as they reach the targets.

Unlimited time: There is no time restriction for completing any phase.

Leverage: Simulated leverage of 1:50 is used across all phases.

Profit share: Traders receive 80% profit split after reaching the funded phase.

Payout structure: Bi-weekly payouts are available once funded.

Progression requirement: Each phase must be passed sequentially, with no skipping or combining targets.

No daily drawdown illusion: While the absence of a daily loss limit gives freedom, it can lead traders to take excessive risk without realizing how fast losses accumulate.

Tight max drawdown: A 5% static drawdown is very strict, especially across multiple phases.

Profit vs risk imbalance: Traders must achieve a total of 12% profit (5% + 4% + 3%) while staying within a 5% drawdown.

No recovery buffer: Without a daily limit, traders may hold losing trades longer, increasing the risk of hitting max drawdown.

Multi-phase fatigue: Even though targets decrease, repeating performance across 3 phases increases psychological pressure.

Overconfidence trap: The lack of daily loss limit often leads traders to increase position sizes, resulting in faster drawdown breaches.

Slow grind reality: Despite low targets per phase, completing all 3 phases requires consistency over time.

Scaling Plan

Lark Funding does not emphasize aggressive or structured scaling plans.

Account growth is based on trader performance and consistency after reaching the funded phase.

There are no clearly defined milestone-based increases, making scaling less predictable compared to firms with automated scaling systems.

The focus of this model is on evaluation and steady profitability rather than rapid account expansion.

Features

Bi-Weekly Payouts News Trading Allowed No Minimum Trading Days No Time Limit Weekend Holding