Trading in Infosys requires both technical entries and disciplined mathematical exits. Whether you are an intraday scalper or a long-term investor in Infosys, managing your risk is paramount. This 2026 Infosys Trading Utility helps you solve the most critical question: 'Where do I get out?' or 'How much should I buy?'. By accounting for Infosys's specific volatility and your personal risk tolerance, this tool ensures you stay in the game for the long run.
Why Position Sizing Matters
Position sizing is the most important risk management tool. Even with a 60% win rate, poor position sizing can wipe out your portfolio. Professional traders focus more on position sizing than on picking winners.
Fixed Risk Method
Simplest method: Risk a fixed amount (₹1,000) per trade. Position size = Risk Amount / (Entry - Stop Loss). Best for beginners, ensures consistent risk across all trades.
Kelly Criterion
Mathematically optimal method: f = (bp - q) / b. Maximizes long-term growth but can cause large drawdowns. Use 'half-Kelly' (f/2) for safer implementation. Pro traders prefer this.
Volatility-Based
Dynamic method that adjusts for market conditions. Higher volatility = smaller positions. Useful in variable market environments. Requires volatility estimate of your portfolio.
Risk/Reward Ratio
Essential for position sizing. A 1:2 ratio means you profit ₹2 for every ₹1 risked. Aim for at least 1:2, ideally 1:3. Better ratios justify larger positions.
Implementation Tips
1) Calculate position size before entering the trade. 2) Never risk more than 1-2% of portfolio per trade. 3) Use stop losses religiously. 4) Scale out of winners using fixed ratios.
⚠️ Disclaimer
The figures provided by this calculator are estimates based on the inputs you provide and standard financial formulas. STOCKCALC.IN does not offer investment advice. Please consult a qualified financial advisor before making any investment decisions.