Choice 4 answer is wrong in Section No: 6, Unit No: 13

Course Name: Position Sizing in Trading, Section No: 6, Unit No: 13, Unit type: Quiz

In fixed sum technique the following statement is twice wrong:

“The portion of the capital used for trading is fixed as the number of units is always fixed.”

  1. Amount is fixed, but portion is not. It is not, say, 0.8 of capital.
  2. The number of units is not fixed, it is changing depending on current price of the instrument.

Because of 1-2, the correct answer is B only, and not B and C as in your “correct” answer.

Hi Viktor,
Thanks for pointing it out. The correct answer has been changed to B only.