By pressing the edit button on the right side the client can change the money management parameters of that system.

Fixed Lot

Set "Fixed Lots" for a particular system

With the fixed lot method you basically set how many lots you want to trade for a particular system. No matter how much the account grows or shrinks you will keep trading this position size. This is fairly straight forward. As discussed earlier, we strongly recommend that you should be very careful using excessive leverage in your portfolio.*

A basic example of this method is saying I have a $10,000 account and I will trade 2 mini lots on every trade. It’s that simple.

*Without proper risk management, a high degree of leverage can lead to large losses as well as gains.

Pros: Easy to set-up and understand, client has consistent lot size.

Cons: Does not provide ability to maintain a constant leverage as account balance increases/decrease.

Fixed Ratio

With this method you predetermine how many lots you will trade for every x amount in your account.

In other words the system increases the lot size accordingly as that SYSTEM (not the portfolio) accumulates profit or shows loss, hence rewarding the higher performer with more lots and vice versa.

For example, a client has $10,000 and wishes to increase the lot size by 10K every time a system shows a $2000 profit. So when the profit of that system reaches $2,000 the lot size changes to 0.2 (20K) and so forth.

Pros: Excellent for a large account trading multiple and complex strategies whereby the account is prone to adverse and volatile balance swings.

Cons: Not suitable for smaller accounts trading a small number of pairs. Such a client can manage positions and leverage more efficiently through Fixed Lot method.

Fixed Fractional

This setting allocates a % risk of the account balance to the trade based on a stop loss level.

VERY IMPORTANT: The stop loss of the trade needs to be predetermined for the software to calculate the lot size to apply to the trade.

eg. An aggressive trader wishes to allocate 5% risk to a system, knowing the signal provider uses an 80 pip stop loss. They insert risk: 5%, stop loss: 80 pips, the software will make the lot size calculation accordingly. The stop loss will not override the stop loss of the signal provider, it is for lot size calculation only.

Pros: Excellent method to manage risk per trade.

Cons: The trader will need the system’s proprietary information regarding the average Stop Loss prior to set-up.