Ep. 614: Two Trading Legends with Michael Covel on Trend Following Radio
Michael Covel's Trend Following
00:00
The Importance of Risk Management
"Our business is one of understanding and accepting or embracing risk," he says. "If you panic or if you don't plan ahead to have a reserve capital or the right leverage, you're going to get killed" For more sophisticated people using systems, you can use value at risk - it's built into some software. It tries to say that given the history of the way prices have moved,. this is the chance that you will have an unpleasant move tomorrow.
Play episode from 01:34:22
Transcript
