Appearance

Personalize your experience

Mode
Accent Color
Direction

Risk, Capital & Trading Psychology

0%

Position Sizing & Drawdown

Risk & Capital · Module 1

Van Tharp R-multiples, Fixed-Fractional sizing, Kelly Criterion vs Half-Kelly, and Risk of Ruin.

Sub-Topics in this Module

This module is organized into 2 specialized sub-topics inside Risk, Capital & Trading Psychology.

Fractional Risk & Kelly

1% Fixed-Fractional position sizing, R-multiple expectancy, and Half-Kelly geometric growth. (2 topics).

Drawdown Math & Ruin

Asymmetric recovery math (`D / (1 - D)`), losing streak probabilities, and Risk of Ruin. (2 topics).

Topics

  • Fractional Risk & Kelly

    1% Fixed-Fractional position sizing, R-multiple expectancy, and Half-Kelly geometric growth.

  • Drawdown Math & Ruin

    Asymmetric recovery math (`D / (1 - D)`), losing streak probabilities, and Risk of Ruin.

Full Trade School curriculum →