More boats capsize in the sea than ships every year!
One reason is that boats are more in number and not that safe in troubled waters.
There is, however, another reason.
Ships have many ballast tanks (hollow compartments) in their basement each separated from each other by strong partitions.
Even if a ship were to collide with something (like an iceberg or another ship), only a particular chamber will get filled with water. Rest chambers will be intact and the ship will stay afloat.
A boat doesn't have this luxury.
Even a hole can sink it pretty soon!
A professional trader should be like a ship.
He should divide his total money in 2 or 3 airtight separate compartments.
One portion for trading,
another for family,
and yet another for some other crucial need...and so on...
so that even if the trading compartment is struck
the other sections are intact
and the ship stays afloat.
The damaged compartment can always be repaired in the due course of time!
He should be strict in not turning towards the other money compartments to borrow money in case he loses in the stock market.
This safety feature gives the stock trader peace of mind which shows in the results!
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