Novices often have a misunderstanding that the greater the leverage, the greater the risk. First of all, this view is untenable. The size of the risk has nothing to do with leverage, only with the position.

So risk has nothing to do with leverage no

Because high leverage actually magnifies the stupidity and desire of traders. The low cost of opening positions and the large surplus of funds will give people the illusion that they are still within the margin of safety, leading to irrational heavy positions or a large number of orders at the same time; In addition, it also caused a faint sense of loss, resulting in poor execution of stop loss. In other words, the real risk of leverage is that it will paralyze and erode the ability of traders to manage funds.

Having said that, we all know that with correct fund management, the size of leverage may become irrelevant.

Only by using capital management and leverage rationally can we survive and make profits in the market.

There is nothing wrong with high leverage, but keep a clear head while satisfying the benefits. Xu Wen, who funded the fund, will answer your questions and wish you a smooth investment!