Loss limitation of a Portfolio is an additional limitation of losses on the Portfolio as a whole, operating independently of the risk management of individual Managed Accounts. Limitation of losses for a week is set as a percentage. The extent of the restriction is set by the Company's specialists and it is dynamic (it is revised depending on the Portfolio's indicators).

Let's review an illustrative example. 

The Equity of a Portfolio is 100 000 USD. Limitation of losses of the Portfolio is set to 10%. This limit works based on the equity at the beginning of the trading period. If during the trading period after unprofitable trading by the managers included in the Portfolio, the equity decreased by 10%, or by 10,000 USD, to the size of 90,000 USD, the specified restriction will be triggered and the Index will stop working until the beginning of the next trading period. (Note. This restriction will work from the beginning of the next period based on the equity of 90 000 USD).

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