At Pinex Capital, two central risk rules apply: the Daily Loss Limit and the Maximum Loss Limit. Both serve to protect the capital, but differ in their calculation and application.
Daily Loss Limit (daily loss limit)
The Daily Loss Limit limits the maximum loss that may be reached on a single trading day (4%).
• It refers to the combined loss from closed and open positions.
• If this limit is exceeded, the account is considered violated.
• The limit is reset daily at midnight 00:00 CET.
This rule is intended to prevent an excessively high loss from occurring on a single day.
Maximum Loss Limit (maximum total loss)
The Maximum Loss Limit defines the maximum permitted total loss of the account (10%).
• It refers to the total drawdown since account opening.
• As soon as this limit is reached or fallen below, the account is considered violated.
• This limit is not reset.
This rule ensures that the overall risk remains permanently controlled.
Both limits must be complied with at all times. Exceeding either of the two limits leads to a violation of the account.