™A $10,000 position moving 10% changes by $1,000; position sizing helps place that movement in the context of the wider portfolio.
Risk & Portfolio
Position sizing
Choosing how much capital or exposure to allocate to a trade or investment.
Plain-English context
Why it matters
This concept helps describe how one position or behavior can affect the resilience of an entire portfolio.
Assuming Position sizing removes risk rather than describing or redistributing part of it.
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