How the Kelly Rule Could Save You Thousands
By now, you’ve heard the expression, “don’t put all your eggs in one basket.”
The same holds true with stocks.
If I risk too much on one trade and it goes against me, I’ve just made a potential mess of my portfolio. Or let’s say you have a $100,000 portfolio, and you decide to risk 10% of that per trade. If your next 10 trades are now losers, you just wiped out your full account. Bad move.Read more