One of the most important aspects of trading also is one of the most difficult to describe. Known as money management, trade management, risk control or a number of other terms, virtually all managers agree that this element is the single most important part of a trading plan. For our purposes, money management will be how trades are allocated across one or more trading systems with a given pool of money. In the first of two parts, we will break down what responsible money management includes and develop a set of meta rules for applying it.
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