trade-risk

Position sizing is calculated by analyzing stock volatility, drawdown history, and liquidity to generate a composite risk score from 0-100. This score feeds into deterministic sizing methods like Kelly Criterion, fixed percentage, and volatility-adjusted calculations to guide your allocation.

Evaluating stock risk requires gathering volatility metrics like beta and ATR, historical drawdowns, and liquidity data. These data points combine into a 0-100 composite risk score that informs scenario planning and risk management recommendations for onboarding new positions.

Yes, you can stress-test portfolio risk exposure around earnings or binary events by running a risk assessment on a specific ticker. The analysis reviews correlations, volatility, and drawdowns to adjust your existing stake size or plan for potential market movements.

The risk scoring system works for any publicly traded stock by calculating a 0-100 composite score based on volatility, drawdowns, and liquidity. This allows you to profile new tickers, resize existing stakes, or evaluate diversification across your portfolio.

The Kelly Criterion is applied as one of multiple deterministic sizing methods alongside fixed percentage and volatility-adjusted approaches. It uses the stock's composite risk score, derived from volatility and drawdown data, to output actionable position sizing guidance for your account.

Volatility-adjusted sizing may be less suitable when a stock's historical volatility or liquidity data is insufficient to generate a reliable composite risk score. In such cases, fixed percentage sizing or scenario planning might provide more stable risk management outcomes.