I have a friend who has quite great trading skills, almost every trade he manages to make a profit. But I see he always uses capital
under $ 500.If in my opinion he should use a large capital of at least $ 5,000 to get greater profit. I suggest to him to borrow from
the bank as trading capital, but he refused with the reason too risky and insecure. I want the opinion of you members of this forum,
whether to use capital from bank loans unsecured and risky if used trading by traders who have good skills? even though in my opinion
safe as long as we can make a profit and smoothly repay loan installments to the bank.
Well it seems to me that your friend is taking a calculated risk with an amount he can probably afford to lose if he ends up with a loss. The thing with loans from banks is that obviously you'll have to pay an agreed interest rate on top and that would increase exponentially with the loan amount. Even if the person has great trading skill sis important not to overstep those fine trading boundaries as sometimes one tiny mistake can lead to huge losses and in the case of your friend I think he's doing well - he might not feel comfortable with a 10x increase in loan.
As for you, remember it's important to not get too greedy.