If investors want to be in an invincible position for a long time, fund management is essential. It is no exaggeration to say that the problems solved by fund management are related to the life and death of investors.

First, we need to measure the overall risk of the capital account. When investors are engaged in investment, they should first determine their active funds and the maximum losses they can bear according to their financial strength and psychological endurance. Generally speaking, it is suggested that the maximum loss of each transaction should be controlled within 10% of the total funds, and this 10% refers to the maximum loss that traders have to bear in case of transaction failure.