RISK ALLOCATION
Our risk management is always calculated and set from the start in every trade. We have Stop Losses, SL. So we know every loss in advance if the trade goes wrong. Every trade is also sent from us to the broker and handled from them. Even if we have computer errors or no internet connection, the trades are always executed.
MANAGEMENT
Our team via FP Markets is responsible for customer support, presentation of results and monthly newsletters. We also help you transfer your deposits to our broker. We have no access to your money and can neither send nor receive it. We only have a limited mandate from you as a client to make the trades. Of course, we will help you get started or exit.
RISK AND VOLATILITY
As an approved client, you have the choice to choose between different trading strategies/levels depending on the size of your investment. If a client has any special preferences or requests, we will always try to accommodate them by discussing such preferences with the client. The average mutually agreed notice period is 4 months.
We can always offer different strategies and risk levels to suit different investors depending on the time horizon and how long you want to invest your capital.
For both of us, you as a customer and us who take care of your investment... take a few minutes to understand the risk picture here.
"A pretty amazing quota for SPC's ZIGMA AI to be able to
give a return in step 10 with an ultra-low risk in steps 1-2!"
On the Swedish scale of 1-7, Zigma AI Combo would end up at 7 = high risk just because the return is so high. If we instead go by volatility, it would be fairer, lowest level 1-2 out of 7.
But... if you instead look at the "risk/reward ratio", the difference between return and "maximum rate throw"/volatility, VS. performance, it would only rate the risk at 1 or "Conservative" but the profit in the higher range "aggressive". So the "Risk/reward" ratio is very good.
EXPLANATION OF THE IMAGES ABOVE AND SPC'S RISK PERSPECTIVE AND RATING
In Sweden we have a 7-point risk scale for funds and shares. The image above is made in 5 steps but the principles are the same. The purpose of this scale is for a customer to be able to see a simple comparison of risks between different products that usually work, but not in all situations.
AN EXAMPLE:
If we take our signal system, Zigma AI Combo which in 2023 gave a profit of about 5-11%/month with a Draw Down under 1%. If we put it in the graph it ends up in the risk of "Low" but in a "profit category" of "Very Aggressive". Then it is really very important how the product is put in the graph.