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How do I calculate lot size and manage my risk?

Lot size, or position size, is how much you invest per trade. Risk management is about not being overexposed, protecting your account from large losses; this plays an important role in your lot size calculations.

Falcon Funded has risk management rules to encourage consistent and profitable trading. These include:

  • 4% daily drawdown
  • 11% max loss

You’re also encouraged to develop your own risk management rules to help determine your lot size. You’ll get the hang of it with experience, but until then our position size calculator will help you strike a perfect balance for each trade.