# Risk engine

> The system that checks every account against the firm’s rules — drawdown, daily loss, consistency, prohibited strategies — and flags or acts on a breach.

**Source:** https://proptechpal.com/glossary/risk-engine  
**Generated:** 2026-09-24  
**Publisher:** Prop Tech Pal — independent prop firm technology comparison

_Disclosure grades measure what a vendor publishes, never product quality. A vendor publishing a weak SLA scores better than one publishing none._

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Also called: rule engine

## Why it matters

In an evaluation-model firm it also decides who passes a phase, so an error in it is a customer-service problem as much as a risk one.

## Where it applies

- [Prop firm risk management software](https://proptechpal.com/categories/risk-management)
- [Risk and back-office capabilities by vendor](https://proptechpal.com/risk-management)

[The full glossary](https://proptechpal.com/glossary)