What you can do to control your risk

We encourage all our customers to manage their risk, and to put in place tools and systems to help protect against the dangers of the financial markets whilst seeking rewarding returns

Set your Loss Protection

With our Loss Protection, you can easily set the level at which your portfolio protection should take effect. For example if you have £5,000 on your account and don’t want to risk more than £750, simply set your Loss Protection to 15%. The £4,250 account balance is the equity to protect*. If your net liquidation value (balance incl. open profits and losses) reaches this value, then all positions will be closed at the next possible price and you will be disconnected from your Top Traders. 

Adjust your portfolio

If you see a Top Trader in your portfolio who is under-performing, you can easily adjust the order size for each Top Trader by clicking on the spanner next to their image. Using the slider, you can increase or decrease this value, and this is available for individual instruments as well. Click “Set Individual Values” and reduce your investment in certain instruments, for example, gold if they happen to be doing poorly in that particular asset.

Be aware

It’s important to regularly check the performance and make-up of your portfolio.

If you follow a Top Trader with high risk statistics, you may potentially make quick profits, but you’re also more at risk of making quick losses. This applies to Top Traders in the lower levels of the ayondo Trading Career in particular.

Keep an eye on the Risk Score (TRS)

We have added an easy to track Risk Score (TRS) to provide additional insight into a trader’s attitude to risk.

The TRS takes into account various factors, but primarily the total size of a Top Trader’s positions relative to the account balance and the way this relationship has evolved historically. The TRS provides Followers with an indication of the associated risk (and consistency) of a Top Traders’ money management. It is not an indication of a Top Trader’s ability to make (or lose) money.

Top Traders are grouped into lower risk traders (1 to 4); medium risk traders (5 to 7); and higher risk traders (8 to 10)

Practise with virtual money

Try out Social Trading on a demo account before you activate your funded live account or visit our webinars to learn more about Top Traders and how to manage your portfolio. The more familiar you become with the concept, the larger the amounts you will feel comfortable investing.

*Note this is not a guaranteed stop facility and you may lose more than your specified amount.