If you trade based on compound interest, it is very possible to build your account to a large state.
ie increasing lot / trade sizes as your account grows based on the same percentage risk.
In the UK, the FSA covers you for up to 40k for money held with companies that go bust, banks, etc.
So, if you ever got to the state where you were trading an account larger than 40k, how do you protect your money that sits with the broker?
Presumably, you would have to open multiple accounts with them and/or store your massive finances
with many different bank accounts?
ie increasing lot / trade sizes as your account grows based on the same percentage risk.
In the UK, the FSA covers you for up to 40k for money held with companies that go bust, banks, etc.
So, if you ever got to the state where you were trading an account larger than 40k, how do you protect your money that sits with the broker?
Presumably, you would have to open multiple accounts with them and/or store your massive finances
with many different bank accounts?