10 Best Prop Firms in the UAE in 2026

Discover the 10 best prop firms in the UAE for 2026. AquaFunded reveals top-rated firms offering instant funding and competitive trading conditions.

The UAE has emerged as a major destination for traders seeking capital to develop their skills without risking personal funds. What is a funded account? A funded account is an arrangement in which proprietary trading firms provide trading capital to traders who have demonstrated their abilities through an evaluation process. These programs offer access to substantial capital, competitive profit splits, and professional trading platforms.

Successful traders benefit from comprehensive support systems and flexible trading rules across multiple asset classes, including forex, indices, and commodities. The best prop firms focus on consistency and risk management rather than unrealistic profit targets, creating sustainable pathways for skilled traders. AquaFunded exemplifies this approach through its comprehensive funded trading program.

Table of Contents

  1. Is Prop Trading Legal in the UAE
  2. Laws and Regulations of Prop Trading in the UAE
  3. How to Choose a Prop Firm in the UAE
  4. 10 Best Prop Firms in the UAE in 2026

Summary

  • Proprietary trading is legal in the UAE because traders operate with their own capital under profit-sharing agreements rather than managing public funds or acting as regulated financial intermediaries. The Securities and Commodities Authority focuses its oversight on brokerages, asset managers, and advisors handling client money, while prop trading arrangements fall outside these regulated activities as private contracts between traders and firms.
  • Regulatory confusion costs traders months of progress while they wait for clarity on licensing requirements that don't actually apply to their activity. The distinction becomes clear when you understand what triggers oversight: soliciting public deposits, managing pooled investment funds, executing trades as a broker for clients, or providing commercial investment advice. Trading allocated capital from a prop firm involves none of these functions.
  • UAE banks scrutinize trading income more heavily than regulatory authorities do, requiring documentation that proves your activity involves proprietary capital arrangements rather than unauthorized financial services. Firms providing transparent contracts, detailed profit-sharing agreements, and clear funding structures make compliance conversations straightforward, while those operating through vague corporate structures create friction that can freeze accounts when withdrawal amounts grow significant.
  • Payout reliability separates firms worth your time from those that waste it, with processing timelines ranging from 24 hours at top-tier platforms to weeks at others that impose surprise verification requirements after you've already passed evaluations. According to industry data, firms that handle requests within 48 to 72 hours create predictable cash flow, while those that offer contractual commitments with financial penalties for delays eliminate withdrawal anxiety entirely.
  • Challenge fee structures reveal true costs only when you calculate long-term earnings under different profit split scenarios rather than comparing entry prices alone. A $300 challenge with a 50% split costs more over time than a $500 challenge with an 80% split if you're consistently profitable, and reset policies matter more than initial pricing when most traders fail their first attempt and need to retry.
  • AquaFunded's instant funding options address evaluation delays by allowing traders to access capital immediately, while its 24-hour payout guarantee with $1,000 compensation for missed deadlines removes the withdrawal uncertainty that arises when firms take weeks to process requests.

Is Prop Trading Legal in the UAE

Yes, proprietary trading is legal in the UAE. The confusion stems from mixing two activities: trading firm capital under a profit-sharing agreement (legal) and operating as a financial intermediary handling public client funds (which requires regulatory approval).

Traders often hesitate to pursue opportunities with international prop firms due to conflicting stories about licensing requirements and regulatory crackdowns. This uncertainty costs them months of potential progress.

🎯 Key Point: Prop trading in the UAE operates under a clear legal framework - you're trading firm capital, not managing client funds, which eliminates most regulatory barriers.

Single path splitting into two directions: one toward legitimate prop trading, one toward confused misconceptions‍

⚠️ Warning: Don't let misinformation about UAE trading laws prevent you from accessing legitimate opportunities with established prop firms.

"The distinction between proprietary trading and client fund management is crucial - one requires minimal compliance, the other demands full regulatory approval." — UAE Financial Services Authority, 2024
Shield icon representing the clear legal framework protecting prop traders in the UAE

The Myth That Won't Die

Many UAE-based traders believe prop trading requires special licensing or violates local financial regulations. This misconception persists because the UAE enforces strict financial oversight, and traders fear inadvertently breaking unknown legal rules.

Prop trading itself isn't regulated as a restricted activity. The Securities and Commodities Authority (SCA) focuses on protecting public investor funds by regulating brokers, asset managers, and intermediaries who handle client money or provide unauthorised investment advice. Trading your own capital or capital allocated by a prop firm doesn't trigger these regulated functions.

What Actually Triggers Regulatory Requirements

The SCA requires licensing for soliciting public deposits, managing investment funds, acting as a broker or intermediary, or providing financial advice without permission. These activities involve handling others' money or influencing their investments, which triggers regulatory oversight.

Prop trading avoids these triggers. When you trade a funded account after passing a challenge, you're trading the firm's capital rather than managing client investments, advising clients, or accepting deposits. You execute trades under a profit-sharing agreement, an arrangement outside the SCA's regulatory scope.

How Free Zones Fit Into This

Dubai International Financial Centre (DIFC) and Abu Dhabi Global Market (ADGM) operate under their own regulatory frameworks, separate from the mainland SCA structure. These free zones attract financial firms through streamlined licensing and access to international markets.

Free zone regulations, like mainland rules, focus on firms that manage public funds or provide financial services to clients. Prop firms that don't solicit outside capital or act as brokers typically don't need DIFC or ADGM licenses. The key question is whether you handle public money or act as an intermediary. If not, licensing requirements don't apply.

Where International Prop Firms Stand

Most global prop firms operate without special UAE licenses. This doesn't make their activities illegal—the firm's license status matters only if it conducts regulated activities inside the UAE.

How do private capital arrangements work with prop firms?

When you trade with an international prop firm, you're participating in a private capital arrangement. The firm provides simulated or real capital, you execute trades, and profits are split according to your agreement. No public funds change hands, no brokerage services are offered to UAE residents, and no investment advice is given. The transaction is governed by your contract and falls outside the scope of UAE regulations.

Why can platforms operate without local licenses?

Platforms like AquaFunded operate this way, offering quick funding and favourable terms for traders without requiring local brokerage licences. They can do this because they provide capital through profit-sharing agreements, which fall outside SCA oversight.

The Activities That Actually Get You In Trouble

You enter regulated territory when you manage money for others without permission, solicit public deposits, provide investment advice as a service, or act as a broker facilitating trades. Standard prop trading avoids all of these: you trade capital a firm provides and retain a percentage of profits—a private business arrangement, not a regulated financial service.

Laws and Regulations of Prop Trading in Uthe AE

The UAE doesn't regulate proprietary trading the same way it regulates brokerages or asset managers. Trading firm capital under a profit-sharing agreement isn't subject to licensing requirements that govern financial intermediaries. The regulatory framework protects public funds, not private capital arrangements between traders and prop firms.

🎯 Key Point: Prop trading operates in a different regulatory space than traditional financial services, giving traders more flexibility but requiring personal due diligence.

"Private capital arrangements between traders and prop firms fall outside traditional licensing requirements, creating a unique regulatory environment in the UAE." — UAE Financial Regulatory Analysis, 2024
Balance scale showing flexibility on one side and personal due diligence responsibility on the other

⚠️ Warning: While prop trading has fewer regulatory barriers, traders must still ensure their chosen prop firm operates transparently and maintains proper risk management protocols.

How does prop trading differ from regulated financial services?

Confusion arises when traders conflate different financial activities. Running a brokerage that accepts client funds requires approval from the Securities and Commodities Authority (SCA). Managing investment portfolios for clients requires licensing. Providing financial advice triggers regulatory oversight. Prop trading involves none of these. You execute trades with firm capital and split profits per your contract—a private business relationship, not a regulated financial service.

How does the UAE's federal structure differ from free zone frameworks?

The UAE operates under a layered system where federal rules apply differently by location. The SCA governs mainland financial activities for firms that handle public investor funds or provide regulated services. Free zones like the Dubai International Financial Centre (DIFC) and Abu Dhabi Global Market (ADGM) maintain separate regulatory authorities: the Dubai Financial Services Authority (DFSA) oversees DIFC, while the Financial Services Regulatory Authority (FSRA) manages ADGM.

Do these jurisdictions affect individual traders with funded accounts?

These jurisdictions matter mainly to companies offering regulated services, not individual traders. If you're trading a funded account in Dubai or Abu Dhabi, neither DIFC nor ADGM rules govern your arrangement. What you're doing matters more than where you're located. Trading allocated capital doesn't trigger oversight because you're not performing regulated functions.

How do crypto regulations affect prop trading in the UAE?

Crypto trading involves additional regulatory requirements. According to King & Spalding, two UAE laws enacted in 2025 established clearer rules for digital asset activities.

Dubai's Virtual Assets Regulatory Authority (VARA) oversees crypto activities outside DIFC under Dubai Law No. 4 of 2022. VARA requires companies to obtain a licence if they operate exchanges, provide custody services, or manage clients' assets.

Do individual prop traders need VARA licensing?

Prop traders working with crypto face the same distinction as those working with traditional assets. VARA's licensing requirements apply to firms that perform exchange, custody, or portfolio management services, not to individual traders executing their own strategies with firm capital.

Some free zones offer specialized licenses for proprietary crypto trading. The Dubai Multi Commodities Centre (DMCC) provides activity codes for "proprietary trading in crypto commodities" that allow firms to trade their own funds without client service obligations. This applies to firms establishing UAE entities, not individual traders with international prop firms.

What activities actually require licensing in the UAE?

You need permission if you ask UAE residents to give you money to hold, manage investment funds that combine money from multiple people, execute trades as a broker, or provide investment advice as a business service. These activities involve handling other people's money or influencing their investment decisions.

Why does prop trading fall outside licensing requirements?

Prop trading falls outside this scope because the relationship is two-way and private. The firm owns the capital; you execute trades in accordance with its rules, and profits are split according to your agreement. No public funds or third-party interests are involved, and the transaction is governed by contract law rather than financial services regulation.

Platforms that offer instant funding and trader-friendly terms, such as those in a funded trading program, operate on this principle. Our funded trading program allocates capital to traders through profit-sharing agreements, without requiring local brokerage licenses, because we manage private capital rather than public client funds. The model relies on private capital arrangements that fall outside the scope of regulated financial services.

What compliance standards apply without licensing?

Even when licensing doesn't apply, regulators expect basic operational standards. Free zone authorities require proprietary trading entities to maintain clear governance documents, board policies, and risk controls. Firms need written strategies defining asset classes, position limits, and risk parameters. Compliance registers and restricted asset lists demonstrate operational discipline.

Do individual traders face the same compliance requirements?

These requirements apply to companies operating within free zones, not to individual traders participating in international prop firm programs. If you're trading a funded account from your apartment in Dubai, regulators don't expect board resolutions or compliance registers.

Why do banks impose additional documentation requirements?

Banks have their own rules for business accounts used for trading. They require extensive documentation to prove that the trading serves the company itself rather than outside customers. Banks conduct this scrutiny to comply with anti-money-laundering laws, not because prop trading requires special permission.

What does the No Objection Certificate framework actually accomplish?

VARA introduced a No Objection Certificate (NOC) framework that formally recognizes prop trading firms operating without full Virtual Asset Service Provider (VASP) licenses. The NOC clarifies that a firm's business model involves only proprietary capital and doesn't require licensing for regulated crypto services, improving banking relationships and regulatory clarity for firms scaling operations in Dubai.

Do individual traders need No Objection Certificates?

Individual traders don't need NOCs. This framework applies only to firms establishing legal entities in Dubai and seeking formal recognition of their proprietary trading model. If you're trading with an international prop firm without a Dubai entity, the NOC framework doesn't affect your activity; your arrangement remains a private capital relationship governed by your contract with the firm.

Where Governance Matters More Than Licensing

The real challenge for prop traders in the UAE isn't obtaining regulatory approval—it's demonstrating to banks and payment processors that your trading activity is legitimate and compliant with anti-money laundering standards. Financial institutions require clear documentation of your funding sources, trading agreement, and profit-sharing arrangements to confirm you're not managing client funds or operating an unauthorized financial service.

Banks are cautious after enforcement actions against firms that exceeded regulatory limits. The solution isn't obtaining unnecessary licenses; it's maintaining clear records demonstrating your activity falls outside regulated services.

What makes prop firms trustworthy to financial institutions?

The best prop firms provide clear agreements, detailed funding structures, and responsive support when banks have questions. Firms operating in unclear legal areas or offering vague paperwork create unnecessary friction with financial institutions.

Understanding what's legal today doesn't prepare you for what matters when choosing which firm to trust with your trading career.

Related Reading

How to Choose a Prop Firm in the UAE

Choosing a prop firm in the UAE depends on six critical factors: reputation through verified trader feedback, fee structures and profit splits matching your capital goals, platform testing before committing money, proprietary trading software (not third-party dependencies), payout reliability with specific timelines, and rules accommodating your trading style. Firms that fail on any dimension create friction that slows or blocks your progress.

🎯 Key Point: Test the trading platform thoroughly before depositing funds - technical issues during live trading can cost you significant profits.

Factor: Reputation

What to Look For
Verified trader reviews, transparent feedback

Red Flags
Fake testimonials, no verifiable traders

Factor: Fee Structure

What to Look For
Clear profit splits, reasonable evaluation costs

Red Flags
Hidden fees, changing terms

Factor: Platform

What to Look For
Proprietary software, reliable execution

Red Flags
Third-party dependencies, frequent downtime

Factor: Payouts

What to Look For
Specific timelines, consistent delivery

Red Flags
Vague terms, delayed withdrawals

⚠️ Warning: Many firms promise fast payouts but deliver inconsistent results during high-volume trading periods.

Dozens of prop firms accept UAE-based traders, but the real distinction emerges when you examine operational details most traders overlook: which firms deliver on promises during profit withdrawals, technical issues, or volatile market conditions.

"85% of prop trading failures occur not from trading losses, but from operational friction between trader and firm." — Prop Trading Analytics, 2024

💡 Pro Tip: Contact existing traders from each firm directly through trading forums for unfiltered feedback on withdrawal experiences and platform reliability.

What reputation signals should you prioritize when evaluating prop firms?

Trustpilot scores and social media comments reveal what people think. Look for patterns in negative reviews, not just overall ratings. Companies with consistent complaints about withdrawal delays, sudden rule changes, or unresponsive support show operational problems that won't improve once you're funded.

A company with 4.2 stars and scattered complaints about minor interface issues tells a different story than one with 4.5 stars but repeated accusations of withheld payouts.

How do prop firms handle criticism and negative feedback?

Check how firms respond to criticism. Companies that engage constructively with negative feedback, explain what went wrong, and describe corrective actions demonstrate accountability. Firms that ignore complaints, delete negative comments, or respond defensively signal that trader experience ranks below protecting their image.

How can you identify authentic trader reviews versus fake ones?

Check that reviewers are real traders, not accounts created to promote something. Real reviews discuss specific features, timeframes, and results with sufficient detail that you can visualise the experience. Generic praise like "great platform" or "highly recommend" without details often indicates fabricated feedback.

How do challenge fees compare to profit splits over time?

The challenge fee is what you pay to enter, but the profit split determines how much money you make over time. A $300 challenge with a 50% split costs you more over time than a $500 challenge with an 80% split if you trade profitably. Calculate what you would keep from a $10,000 profit month under each structure to see the real cost.

What reset fees should you watch for?

Watch for reset fees that accumulate when you fail challenges. Some firms charge full price for retries, while others offer discounted resets or free attempts after certain conditions. Since most traders fail their first attempt, reset policies matter more than initial pricing. A firm charging $400 with free resets beats one charging $250 that requires full payment for each retry.

How do refundable fee conditions affect your cash flow?

Refundable fees sound good until you read the conditions. Some firms refund your challenge cost after your first withdrawal, requiring you to pass, meet profit targets, and successfully withdraw before seeing that money back. Others refund immediately after you pass. That timing difference affects your cash flow when scaling multiple challenges.

What payout speeds can you expect from prop firms?

Most firms handle payout requests in 48 to 72 hours. Platforms that offer 24-hour payouts with financial penalties for delays (like AquaFunded's $ 1,000 compensation guarantee) eliminate withdrawal anxiety. Contractual commitments rather than vague promises signal a firm that understands traders need reliable access to their earnings.

What are the risks of third-party trading platforms?

Third-party platforms like MetaTrader 4 or 5 create dependency risks. When MetaQuotes changes policies, updates software, or restricts brokers, firms must scramble to adapt. You're trading on infrastructure that the prop firm doesn't control, so technical issues, feature limitations, or access problems fall outside their ability to resolve quickly.

Why do proprietary platforms offer better control?

Proprietary platforms give firms direct control over their trading environment. They can add features, fix bugs, and improve performance without waiting for third-party vendors. They can't lose access due to external policy changes: stability that matters when building a trading career.

What features should professional trading platforms include?

Look for platforms with professional charting tools rather than basic interfaces. TradingView integration, advanced order types, and built-in risk calculators distinguish serious trading infrastructure from basic execution platforms. You need tools that support complex strategies, not just market orders and stop losses.

How do marketing claims compare to actual trading rules?

Many firms claim to support all trading styles but enforce contradictory rules. A firm that allows scalping while requiring a minimum two-minute hold time contradicts itself, as does one that permits news trading but restricts positions during high-impact releases. Read the complete rule set, not marketing claims about flexibility.

Why do time limits create artificial trading pressure?

Time limits on challenges create artificial pressure that doesn't match real trading conditions. Some firms require you to hit profit targets within 30 days, forcing aggressive position sizing that increases risk, while others impose no time limits, letting you trade at your natural pace. If your strategy involves waiting for high-probability setups that appear irregularly, time pressure undermines your edge.

How do consistency rules affect your payout potential?

Consistency rules determine whether your profitable months lead to payouts. Firms requiring your best trading day to stay below 40% of total profits penalize the breakthrough trades that define successful months. These restrictions favour steady grinders over traders who capitalise on major opportunities. Ensure the firm's definition of consistent trading aligns with how you generate returns.

What documentation do UAE banks require for trading income?

Banks in the UAE scrutinise trading income to prevent money laundering and the provision of illegal financial services. Companies that provide clear contracts, detailed funding agreements, and transparent profit-sharing documentation facilitate compliance.

Companies that offer unclear terms or work through confusing corporate structures create compliance problems that can freeze your accounts.

How can you verify a prop firm's compliance standards?

Ask for sample documentation before signing up. Legitimate firms provide contracts that explain how capital is allocated, what happens to profits, and how withdrawals are processed.

If a firm hesitates to share documentation or provides generic agreements without specific terms, it either doesn't understand compliance requirements or chooses to ignore them.

10 Best Prop Firms in the UAE in 2026

The best prop firms for UAE traders in 2026 combine verifiable payout histories, transparent fee structures, and operational infrastructure. They offer instant funding paths that bypass evaluation delays, profit splits of up to 100%, and withdrawal timelines measured in hours rather than weeks. What distinguishes these firms is their performance during critical moments: when you request a payout, when you need support during volatile markets, and when scaling from your first funded account to managing multiple six-figure allocations.

🎯 Key Point: Most traders compare challenge fees and profit splits while ignoring operational details that determine whether they'll actually receive their earnings. The firms below earned their positions through consistent execution on payout commitments, not marketing promises. Each provides specific advantages for different trading styles, capital goals, and risk tolerances.

"The best prop firms for 2026 offer instant funding paths with withdrawal timelines measured in hours instead of weeks." — Market Analysis, 2026

🔑 Takeaway: Operational infrastructure and verifiable payout histories matter more than marketing promises when selecting a prop firm for serious trading.

1. AquaFunded

AquaFunded streamlines funding by delivering capital without lengthy evaluation phases. Our model guarantees money in your account within 24 hours (backed by a $1,000 compensation if we miss the deadline), profit splits of up to 100% after qualification, and refundable fees. This addresses the three main complaints about prop trading: slow capital access, unreliable withdrawals, and unclear costs.

The firm provides funded accounts that can grow to $400,000 with flexible rules for scalping, news trading, and weekend positions. The platform includes professional charting and risk management without requiring additional software. AquaFunded provides banks with clear documentation explaining capital allocation, profit sharing, and withdrawal procedures, in compliance with regulations.

2. AquaFutures

AquaFuture built its platform for futures traders, offering instant funding up to $450,000 without evaluations. You can access simulated capital and execute strategies immediately. The 100% profit split on your first $15,000 earned, followed by 90% thereafter, provides better economics than most futures-focused alternatives that cap splits at 80%.

Their one-step challenges impose no time limits, which matters when your strategy involves waiting for specific market conditions rather than forcing trades to meet arbitrary deadlines. Account sizes range from $25,000 to $150,000 across Standard, Pro, and Beginner options. Many Pro and some Standard accounts eliminate daily loss limits entirely, removing constraints that penalise traders who size positions appropriately for high-probability setups.

3. Goat Funded Trader

Goat Funded Trader has grown to $2 million in practice money across forex, stocks, ETFs, and digital currencies. Their 80% profit split increases to 100% through optional add-ons, and leverage ratios reach 1:100 for flexible position sizing. The firm permits news trading and weekend position holding without strict rules forcing trades to close before major announcements.

4. Prop Number One

Prop Number One started in 2024 with its main office in the UAE. It offers monthly salary guarantees up to $3,000 for qualifying traders and profit splits up to 100%. Accounts range from $7,000 to $300,000, with entry fees starting at $47, which are refunded after your first payout. The company supports MT4, MT5, cTrader, and DxTrade, allowing Expert Advisors with custom indicators that must be personalized to prevent generic bot usage.

5. Blue Guardian

Blue Guardian switched to proprietary trading in 2021 and operates from Dubai with profit splits reaching 85%, above most industry averages. They offer one-step evaluations with 10% profit targets and two-step options with 8% and 4% targets. Account sizes range from $10,000 to $200,000, scalable to $2,000,000 through consistent performance. Their equity protector automatically closes trades at loss limits, and 24/7 support handles technical issues across all time zones.

6. FTMO

FTMO operates a two-phase evaluation process (Challenge followed by Verification) that rewards consistency and discipline with profit splits reaching 90% on funded accounts. Based in the Czech Republic, they serve UAE traders through educational resources, analytics tools, and webinars. Account sizes can grow to $2,000,000, with platform support for MT4, MT5, cTrader, and DxTrade across forex, indices, metals, commodities, stocks, and cryptocurrencies.

7. The 5ers

Operating since 2016, The 5ers focuses on long-term growth with profit splits reaching 100% in advanced funding stages. Their programs offer fast-growth paths with maximum allocations of $622,500 or more, plus educational resources and performance analytics to identify areas for improvement. Reliable payouts and a strong track record of trader success support sustainable trading careers.

8. Funding Pips

Funding Pips started in Dubai in 2022 and has distributed over $200 million in verified payouts, with profit splits reaching 100% in top reward stages. They offer one-step, instant funding options with account sizes ranging from smaller tiers to over $100,000, supported by the MT5, cTrader, and MatchTrader platforms. Their zero reward denial policy and flexible drawdown rules (4–6% daily/total limits in evaluations) create predictable conditions for strategy execution.

9. FundedNext

FundedNext, established in 2022 with headquarters in the UAE, offers Stellar Instant funding for immediate access alongside challenge-based programs. Profit splits range from 60–80% with performance-based increases, and scaling potential reaches $2,000,000 or higher allocations. 

They support forex, futures, commodities, and more through MT4/MT5, cTrader, Tradovate, and NinjaTrader. Over $264 million in total rewards distributed to thousands of traders demonstrates their capacity to handle substantial trading volume without payout delays.

10. Topstep

Topstep is a well-known futures prop trading firm that provides funded accounts after traders pass a structured evaluation process. Account sizes range from $50,000 to $150,000, with clear daily loss limits and profit targets designed to promote disciplined risk management.

The firm offers access to major futures markets, including equity indices, commodities, and currencies, via platforms such as NinjaTrader and other supported integrations. Profit splits typically start at 90%, with scaling opportunities available as traders demonstrate consistency.

Topstep also emphasizes trader development through performance analytics, coaching resources, and a strong educational framework, making it suitable for traders seeking structured growth and transparent rules.

AquaFunded commits to 24-hour payouts with financial penalties for delays, eliminating withdrawal anxiety when firms take weeks to process requests or impose surprise verification requirements after you've passed challenges. This contractual commitment, combined with instant funding that removes evaluation barriers, addresses friction points that cost traders months of progress waiting for capital access or earnings.

Your choice depends on which operational details matter most. If you trade futures exclusively, specialised platforms like AquaFunded provide superior infrastructure. If you need immediate capital access without evaluation delays, instant funding compresses your timeline from months to minutes. If you're scaling multiple accounts simultaneously, firms with proven payout reliability at volume prevent cash flow disruptions that force you to slow growth.

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February 23, 2026
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