One of the most important conditions of investing is having a good Money Management Plan to protect your capital with negative results.
When you are trading with a CFD-product it is wise to never have more than 2% of your working capital in one position. The advantage of trading with a CFD-product is that you can start with a relatively small amount of money.
If you are going to trade with Sprinter or Turbo it is important to keep an eye on the ratio of risk and return and always use a stoploss so you know what loss or profit you will be satisfied with.
Furthermore when trading with a Future contract you must consider the margin obligation on your investor account. At the moment the margin obligation for DAX is € 40.000,- per contract.
We believe that it is better to work with the highest possible margin, which will enable you to continue trading after an unexpected loss.
Every form of investing know risks and can result in a loss that can even be greater than your investment. We suggest that you never take too many risks and that you protect your money with a strict Money Management Plan.
But maybe even more important, only invest with money that you can really miss!