Optimal leverage calculations

Discussion in 'Risk Management' started by tenthousandmen, Dec 27, 2011.

  1. Hey all...

    I've spent the past few days thinking about coming up with equations and tables relating to the best leverage for a given trade. I've been using win rate, confidence ratings and random walks + basic statistic calculations for the variables and functions.

    I know this is already an area covered by economics and most anyone who went through Wharton... I didn't get my degree in finance, so I'm still technically considered ad libbed! :D

    Anyone have any thoughts on this, or writings/articles they've read that have good info on this?