Question about account size

Hi, ive been trading a very small account (500dollar) just to learn and also get the psycological part.

But since 3 months back, its going better and better, and i want to go a little big bigger, now I use to risk 1% of my account on each trade, and the my question is, if i want to tripple my account size, do i RLY need to put over money from my bank to my account, or can i just increase bet size to 3% each trade?



Its a really dumb question, i know. But i dont know how to do it and why.

Everything I have found on this matter is if you are in the green there is no reason to keep shoveling money into the account.

with 3x your previous return will possible come 3x your previous drawdown too.
if you fine with your numbers, there is no real need to add money.
might be a good idea to do a gradual increase to 1% to 2% to 3% risk...that way you mentally get more familiar and comfortable with the new profit and drawdown figures, and less tempted to cut profits short vs. original approach, and in general to keep the same trading mindset.

i recently went the other way, added more money to my trading account, now trying to scale up position sizes gradually to the same risk profile, getting used to see larger dollar term equity swings ( but lessen % return and drawdown). for me the key is not to rush it, feel comfortable with what i do is important.

Since, you are a new trader don’t make an initial big target like 300% or 400%! In addition, I appreciate your risk reward ratio, it’s quite standard! By the way, what’s your monthly return right now? If you get consistent monthly return here (minimum 6 months) only then you can invest more!

Well, theoretically, you don't have to deposit more money with your broker to increase your account size. For example, if you wanted to trade a $1000 account, you could still risk 1% per trade without depositing more cash with the broker. Just set aside an additional $500 in a bank somewhere and view both that and the other $500 on deposit with the broker as a $1000 account and then risk your $10 per trade just as you would if it were all with your broker. The amount of leverage brokers allow makes it unnecessary to keep your whole account with them. Now US brokers are a slightly different story since the margin requirements are higher, so you would have to deposit more.