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NECESSARY CAPITAL

The necessary capital to start a Trading system, is a subjective aspect, in Autrading, we determine the necessary capital to activate any system according to the past maximum losses (drawdown) and other factors turned out from the tests to which we submit to all the systems. But it is the client the one that can establish a maximum risk, and according to this risk we will make up his system portfolio (or maximum losses that the client is ready to support) and the capital destined for the investment.

We designate a minimal capital for each system , though at the moment of composing a portfolio this capital can diminish according to the results of all the test realized to the above mentioned portfolio, in the portfolios recommended by Autrading, we include also a minimal reasonable capital.

We attend in an exhaustive way the calculation of this capital, because it will depend on that our portfolio does not support percentages of too big losses, even do not be able to get to zero and let's have to stop the operative .

Some examples:

 
  SYISTEM DRAWDOWN NECESSARY
CAPITAL
 
  Newyork esx 6.000 € 12.000 €  
  London dax 10.000 € 25..000 €  
  NY Down dax 20.000 € 50.000 €  
  You can see here how is made the calculation of the Capital Necessary for each system .  

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