---
title: "What is Floating Drawdown?"
description: "Explains floating drawdown."
url: https://help.finotivefunding.com/en/articles/922-what-is-floating-drawdown
collection: "Core Risk Rules & Exposure Controls"
updated: 2026-11-08
language: en
---

# What is Floating Drawdown?

Explains floating drawdown.

Floating Drawdown is the unrealised loss on one or more open positions on the same symbol, measured as a percentage of the Initial Account Balance and assessed on a combined basis per symbol.

Because the trade is still open, the loss can recover or worsen before closing. Once closed, the loss is realised.

**Related Terms:** Section 7.8