Knowledgebase
How Much Money Do I Need To Get Started?
A very large component of the Trading Trainer system or plan, if you will, is 'Money Management'. Money management, at a high level, is maximizing your gains, minimizing your losses and make sure you stay an investor for the long haul (don't blow your whole initial investment on one trade that loses.) Our money management rules limit how much of our portfolio we can invest in any one trade.
Options are sold in lots of 100 called a contract. These two boundary conditions combined, will price us out of the range most options cost, if our portfolio isn't big enough.
What is big enough? Some people start with 2,000 USD. But, the choices really don't open up to you until you are in the 5,000 - 20,000 USD range.
