I have been trading for ~18 months, and I think I have found good consistent returns using a pair trading strategy.
Until now, I have been trading only with a fraction of my available funds. Come FY10/11, I am planning to turn it up a few notches and commit much more funds to my trading. This means my trading account will be 4-5 times larger than it is at the moment.
What are some of the things I need to look out for with larger account and larger positions? Here are a few I can think of...
- Get used to larger profits and losses
- Get skilled at scaling in and out of positions
- Set up the business right structure (for tax purpose) to conduct the trading
- Explore opportunities to negotiate better rates and commission
Anything else? I wish to prepare myself mentally as much as possible. So any first hand experience or useful advise would be much appreciated.