Why Determining Your Risk Tolerance Is A Vital Part Of Learning To Trade

Investors often find that although there is a very vast and diverse range of financial instruments that can be used for investing, certain factors remain the same across all markets. Foremost among these is the need to determine and define individual risk tolerance. Without a comprehensive understanding of what this is and how to trade in accordance with it, investors will always be at risk of making hasty decisions that foster direct losses or cut their potential profits short.

In its is clearest and most basic sense, your risk tolerance is the amount of money that you can afford to comfortably loose without emotionally unraveling or putting yourself in a position in which loss can force you out of the market entirely. If you are ever in danger of wagering or leveraging more than this amount, serious problems can ensure. More importantly, these will usually be problems that you have created for yourself.

Fear-driver decisions are rarely well thought through. When people have put themselves into high risk situations, they tend to take rapid actions in order to control their outcomes. With binary options, this usually means paying extra transactional fees to bring trades to an immediate and grinding halt. The goal of these hasty efforts is to minimize losses.

In addition to paying additional transactional fees to the broker of your choice, you may accidentally cut your profits short. When you trade within your range of risk tolerance, however, there is a much lesser likelihood of your sidelining your own profits. This is because you can confidently stand behind your market theories while watching them play out.

These same ideas also apply in the foreign exchange market. When leveraging two currency pairs in the hopes of gleaning profits, you have to account for the different factors that can impact currency values and the amount of time that it will take for the effects of these factors to play themselves out. Giving up on a currency pair too soon, could cause you to miss out on remarkable gains.

There are even certain, profitable trades that knowledgeable traders are unwilling to implement, simply because they are too fearful to trust the information that indicators and sources have revealed. Rather than being leery of their own sources, they are simply unable to identify the threshold of their risk tolerance. Moreover, they may have experienced more recent losses than gains and have unknowingly neared or surpassed their risk tolerance.

A lot of brokerages and trading programs have in-built market simulators. These are great for people who are just learning the ins and outs of a new market as they evoke similar emotions of real trades while showing whether trading theories are spot on or recipes for guaranteed loss. If you’re just starting out in the binary options or foreign exchange market, it is best to make a number of simulated trades before leveraging any real cash.

In addition to helping you identify the best Forex strategy, a good simulator will also give you a better understanding of your ability or inability to tolerate large amounts of risk. Simulating trades with increases or decreases in trade values will reveal a more accurate threshold that you can adhere to when entering the actual market. Trading in accordance with this threshold is by far, the best way to avoid emotion-driven, hasty decisions that cause more harm than good.

Dot Com Media Warns Local Businesses Against Fake Reviews

Fake reviews are becoming common these days to hurt the reputation of businesses. Many new startup companies who lack a strong customer database or have low customer satisfactions levels are engaging in new levels of treachery to gain undeserved popularity, such as by creating fake positive reviews for themselves. These new acts of deceit help companies lure future customers who fall prey to such reviews. Dot Com Media is a responsible corporate citizen and wants to create awareness among local businesses to be watchful of such cunningness.

Most consumers rely on reviews from customers to judge the performance of an online or local company. Due to lack of personal experience, customers tend to evaluate the services and products sold by the company based on positive and negative testimonials. Incompetent businesses that lack professionalism and ethics, may engage in dishonest practices to enhance their business outlook in front of customers by posting false, negative, reviews on their competitor’s website.

Such reviews are mostly self-made, using false names to trick customers into moving away from the website’s products or services. By posting false reviews incompetent businesses hurt their competitor’s reputation. Dot Com Media urges its customers and local businesses to remain vigilant of such activities, which are nefarious and designed to help incapable business sell their inept products or services without any real value for money.

Here are a few tips to identify fake reviews and websites:

Payment options

Check the payment options listed by the company, there are many merchants offering payback services in case the customer is not satisfied. For example, a great way to make transactions safely online is by paying via PayPal, which is widely accepted across the US and any reliable service provider would have a PayPal payment feature. Companies who offer non-secure payment options like direct debit from your credit card or debit card put the customer at risk.

Business Guarantees

Check the guarantees offered by the business. Most businesses offer some sort of assurance in order to gain a potential customer’s trust. Quite commonly, online businesses will post money-back guarantees in case of dissatisfaction. Any professional business would list its terms and conditions, stating its extra services offered to its customers.

Check the Reviews

Always read the reviews posted on the website and be watchful for positive ones. If a review is highly in favor of the company, stating almost all of its services, it is likely a fake testimonial. Companies can now hire freelancers to write fake reviews for their services, typically resulting in an unusual amount of positive comments.

These are some ways to detect fake reviews on a website and to evade the trap conveniently. Dot Com Media always engages in ethical practices and encourages other businesses to conduct operations with honesty and integrity.

Importance of Pharmacovigilance

Some of the terms used in drug safety can vary in how the terminologies are interpreted and used. For instance:

Adverse Drug Reaction

In the pre-approval of the drugs’ clinical experience with a fresh medicinal product or its usages, specifically as the therapeutic dose or doses might not be established, all unintended and noxious responses to the medicinal product associate with any of the does should be considered as the adverse drug reaction.

Adverse event

An adverse event or AE can be any unintended and unfavourable sign, including the abnormal laboratory finding, symptom or the disease temporarily related to the medicinal product’s use whether or not considered associated with the medicinal product.


Assessment of the favourable or beneficial and unfavourable outcomes of undertaking a particular course of action the medicinal action can contribute to the final evaluation of the perks of the drugs.

Causal relationship

Causal relationship or assessment is the method for assigning the probability of the causation to a suspended adverse reaction of the drug.

Clinical trial

Clinical trial or study is the investigation into the human subjects that is intended with the purpose to verify or discover the pharmacological, clinical or pharmacodynamics of an investigational product or to identify any of the adverse reactions of the investigational product.

Control group

Control group or cohort studies usually identify and compare the exposed patients to the unexposed patients or to the patients that receive different exposure from the use of the drug.

Dechallenge and Rechallenge

Dechallenge refers to the stopping of the drug generally after the adverse event or at the termination of the planned treatment. Rechallenge refers to the re-commencement of the similar drug after its usage has been stopped generally for adverse event.


The effectiveness of drugs examines the trends in the disease events over the time across the various geographical locations and then correlates them with the trends in the putative exposures like the rates of the utilisation of drug.


Efficacy is concerned with the conduct, design, and safety and reporting of the clinical trials of the drug. It also encompasses the novel kinds of the medicines derived from the biotechnological procedures.


It is considered vital while testing the effect of the new drug in the market that all the events occur after its use is reported to the clinics.


The drug use in the sector of Pharmacovigilance is tested before launching it in the market so that the users do not suffer any harm, however if the users experience any they should stop its usage and report to the clinic.

Implied causality

Implied causality refers to the spontaneously reported adverse even cases where the causality is always presumed to in positive sense unless the reports of the event states otherwise.

Individual case study report

Individual case study report in Pharmacovigilance is part of the adverse event reporting. It includes serious as well as unlisted events that are considered associated with the use of the drug by the individual.

Life threatening

Life threatening refers to the adverse event or AE that places the patient at the instant risk of death due to the usage of the new drug.


The drugs introduced by the company are tested on the humans on the basis of the phases or level, where the affect of the drug is examined after its intake the patient.


Signal detection or SD includes a range of many techniques to detect the affects of the drug on the patient.

Temporal relationship

Temporal relationship is defined as the abnormal renal or hepatic function test based on the date that they are initially detected on the patients.


Triage in Pharmacovigilance refers to the chronological order in which the drug treatment is carried out on the patients or on the casualties.

What is clear about Pharmacovigilance is that it will continue to be the influential part in the development of the new drugs and therapies for many years to come.

Your Business Doesn’t Have To Be So Risky

One of the big fears people have about having their own business is that it is risky. And that’s true.

I don’t want to minimize that, because you’re taking a risk to put your economic welfare in your own hands. (You’re also taking a risk, and I would argue a bigger one, to put your economic well-being in someone else’s hands, but that’s for another article!)

What’s also true is that taking risks to have your own business can be reduced by the choices you make. And having your own business has big benefits.

In your business, you have 3 kinds of risk: 1) risks you can prevent, 2) risks you can reduce, and 3) risks you have little control over.

Let’s clean things up right away by looking at #3. Examples of risks you have no control over are external to your company. They include the weather (if you have a weather-affected business), or other companies popping up that do the same thing.

Risks you have little control over can’t be prevented. But they can be identified, and the sooner you can do so, the better. Then you can decide what to do to minimize their effects. Make a list of potential external risks and include what you plan to do to monitor them part of your overall strategy.

For example, keeping an eye on other companies popping up that do the same thing can include regular internet searches and consistently following through on news you may hear through your contacts of a new company on the scene. Depending on what you learn, you can decide if this new company provides you with:

· New ideas for offerings you can create

· Opportunities for collaboration and joint ventures

· Greater clarity for your own marketing, to help prospects distinguish you as a provider.

Some risks you can prevent by getting insurance, or obtaining legal advice. Relatively easy solutions can do the trick.

Next we’ll look at the first kind of risk, #1: risks you can prevent. We’re talking about risks within your own company. For example, you’ll want to ensure that your processes are clear, so that everyone involved can follow them with a minimum of errors or time wasted in confusion.

These are the easiest risks to manage, but not everyone does so because procedures aren’t sexy. They are, though, the backbone of providing a consistent product or service that your clients can rely on.

You can manage these preventable risks by monitoring and guiding people and processes toward the standards of quality you set. Create a procedures manual and test it out, to ensure everyone knows what to do. Add a step for quality testing, to see if the procedures are clear and being followed.

Finally, the second kind of risk, #2: risks you can reduce, are the most fun. These are risks you voluntarily take so that you can improve your outcomes. For example, a bank takes on risk when it lends money. You may take on risk when you spend time researching a new possibility for an offering.

This kind of risk is strategic. The risk itself isn’t in itself undesirable. The flip side of this kind of risk is opportunity. Managing these risks effectively increases the possibility of gain. Reaching out to a potential new client group that is large and potentially lucrative is a risk you may want to take for the high potential income.

Minimizing risks takes some thinking and planning. First, how can you minimize the risk before you begin? In our example, you can get to know your new group of prospective clients really well. Do research. Talk to them. Really invest in understanding what their problems are and how you might be able to help solve them. Get to know them personally: build relationships.

Decide how you’re going to manage the risk factor once your risky venture with this new client group is underway. Track your progress. Is your investment paying off? Don’t get stuck with the same strategy if it’s not working. Make adjustments quickly. Change direction as you learn more, if it’s warranted.

As a general rule, make the scale of your effort to prevent or reduce a risk consistent with its consequences. If the consequences are major, spend more time and energy than if the consequences are minor. There may even be risks you can ignore, because they’re really unlikely and have minor consequences.

Risk management is part art, part science. These risk management strategies can help you take on bigger risks, with bigger rewards for everyone. It’s worth putting energy into thinking things through before you begin to invest time and energy.

Taking calculated risks, making good decisions around what’s probable and what you’re willing to do, is a good way to keep the risk factor in your business to a minimum. Your business doesn’t have to be so risky.