Here’s the story: no time, no stomach, no return, full risk. A friend of mine wants the omelet but is afraid of breaking the eggs. Meanwhile, the eggs deteriorate in the refrigerator.
How successful traders and investors are born? The first step is mastering Portfolio Design; the second is mastering Position Sizing. Above all, Position Sizing is an exercise of humility. We don’t move the markets, we follow them. They are indifferent to us and can be very hostile. They are not simple, but utterly complex and we don’t know the future. Only Position Sizing will be there for us when all else fails.