CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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What is limited risk?

Learn more about limited risk

Limited risk is an investment strategy where the amount an investor could lose is capped. The limit is usually the amount invested initially.

Limited risk allows investors to better protect their investment because they're fully aware of the maximum potential loss.

Where have you heard about limited risk?

Limited risk options are popular in trading. Many investors use them to protect their portfolios against sharp price movements.

What you need to know about limited risk.

Similar to buying insurance, limited risk offers protection in case something goes wrong. It works by tracking the investment’s progress and then moving securities in the opposite direction. This protection is an example of hedging.

You can measure limited risk by using delta, a ratio that illustrates how much the price of an option is likely to move.

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