Most popular money management method.

I was wondering what was the most popular money management method was being used by the people who are on factoryforex.


1.Fixed Sum
2.% of capital
3.Optimal f
4.Secure f
5.Kelly f
6.Other


I use number 2. % of capital. I guess because that was the conventional wisdom of the trading books I have read. I am now exploring other options and am currently rereading "The Trading Game" By Ryan Jones which I guess falls in the "other" category.

It's a problem defining money management anyway....Van Tharp defines it, not only as stop loss, but also as position sizing...The contradiction and debate about the definition will lead to different models as per every author or professional...

I voted % of capital anyway, as this is how I calculate my stop loss


Thanks,

Nader

I also use % of capital since it's the only MM I have a good grasp as of the moment..

Plus, it's easy to understand and to compute for new positions..

I'm not sure about the others.. But anyway, it's what I employ right now..

maybe if you could define what each one meens,

From your list the only 1s i understand are:
1.Fixed Sum
2.% of capital

Here's a brief introduction to the various methods of money management.

http://www.trader-soft.com/money-management/index.html

thank you for the link, jadedmikey.

I too voted for % of Capitol, for the same reasons others noted above. And my cute little excel Lot Calculator is easy to understand and i use it before every trade session to set my # of lots available.

P.S. here is a link to the excel speadsheet i mention for calculating lot sizes:

http://accrete.com/fx_posts/FX_TradeCalc.xls

Thanks for this file Thom!
I am still making my own.. However, I'm still on the design process of what to include in my spreadsheet..

I think I can get more idea from this.. Beside its function, I like its presentation..

Although, what's essential is what I get from the file (calculation
of lots), I think it doesn't hurt if I make it presentable..

I think Fiji will be impressed by this..
I know I am...