Exchange Currency

2% rule

A theory in investment trading whereby the investor should not allocate more than 2 percent of their available funds on a single investment trade. This rule helps investment traders in staying within the boundaries of a trading system as well as helping to reduce the downside risk.

Related information about 2% rule:
  1. 2% Rule Definition | Investopedia
    A trading practice where an investor should concentrate no more than 2% of available capital on a single trade. To follow the 2% rule an investor first calculates ...
     
  2. the 2% rule......... - Trade Guild
    Feb 28, 2006 ... There is a concept in risk management that you'll here about, the 2% rule, although each person may have a slightly different set of standards.
     
  3. Incredible Charts: Money Management: the 2 Percent Rule
    Restrict the size of your initial position so that your capital is protected if you suffer a string of losses.
     
  4. 50% rule and the 2% rule
    Jun 26, 2010 ... 50% rule and the 2% rule - I thought I had heard another investor say that the two rules were basically the same thing. Maybe I misunderstood ...
     
  5. Miscellaneous Deductions - What is the 2% rule?
    If you itemize your deductions, part of the expenses that you claim as deductions may be limited by the 2% rule. Deductions that are included are unreimbursed ...
     
  6. The 2% Rule
    Here's a great rule of thumb for buy-and-hold investors (rental property owners) who focus on single family houses. And again, this is a good rule of thumb to use ...
     
  7. Trading Rules: 2% Rule Explained - YouTube
    Aug 11, 2009 ... http://www.trading-secrets-revealed.com Without clearly defined trading rules, you can fall into very large traps with your trading. Applying the ...
     
  8. Summary of ED's 2% Rule For Students with Disabilities: Alternative ...
    2200 Research Boulevard. 2200 RESEARCH BOULEVARD #220, ROCKVILLE, MD 20850 301-296-5700 VOICE OR TTY FAX 301-296-8577 www.asha.org ...