---
title: "Position Size Calculator: Risk per Trade | RupeeCase"
description: "Position size calculator: from capital, the share you will risk, entry and stop loss, get the number of shares, the position value and the rupees at risk."
source_url: "https://www.rupeecase.com/learn/tools/position-size-calculator"
---

Shares to buy**333**
Position value**₹1.67 L**16.7% of capital
Rupees at risk to the stop**₹9,990**
Risk budget**₹10,000**
Stop distance**6.00%**

Shares = risk budget / (entry - stop), rounded down. A gap through the stop can lose more than the budget.
      Share this resultReset

  01How it works

## In plain words.
The risk budget is the capital times the risk share. Each share loses the gap between entry and stop if the stop is hit. Dividing the budget by that gap gives the number of shares, rounded down, and never more than the capital can buy.

    The formula

`Risk budget = capital x risk %``Shares = floor(risk budget / (entry - stop))``Position value = shares x entry`

  02Worked example

## The default numbers, by hand.
Rs 10 lakh capital, 1% risk, entry Rs 500, stop Rs 470: budget Rs 10,000, Rs 30 a share at risk, 333 shares, a position of Rs 1,66,500 (16.7% of capital).

| Input | Value |
| --- | --- |
| Capital | ₹10,00,000 |
| Risk per trade | 1% |
| Entry price | ₹500 |
| Stop loss price | ₹470 |

| Result | Value |
| --- | --- |
| Shares to buy | 333 |
| Position value | ₹1.67 L |
| Rupees at risk to the stop | ₹9,990 |
| Risk budget | ₹10,000 |
| Stop distance | 6.00% |

  03Key concepts

## What to know before you use it.

### Size from risk, not from conviction
Fixed fractional sizing keeps every trade’s loss to the same share of capital, so a run of losses shrinks positions instead of wiping out the account.

### Systematic portfolios
Index style strategies usually size by weight caps instead: no stock above a set share of the portfolio. Module 4.2 covers both.

### Good to know

* A wider stop means fewer shares for the same risk.
* Gaps at the open can jump past a stop; the loss can exceed the budget.

  04Assumptions

## What the calculator assumes.

* A long position; the stop fills at the stop price.
* Costs and slippage not included.

  05Questions

## Asked about the Position size calculator.
How do you calculate position size?Shares = (capital x risk per trade) / (entry price - stop loss price), rounded down.

What risk per trade is common?Many traders in textbooks use 0.5% to 2% of capital. It is a choice about how many losses in a row the account can absorb.

    Explore next

## Learn the idea behind the numbers.

* [Blog noteSingle stock skew: own the haystackPortfolio construction, a short note](/blog/2026-07-01-morning-single-stock-skew/)
* [Blog noteThe fund that got too big to beat the indexCosts: MF, PMS, RupeeCase, a short note](/blog/2026-06-29-morning-fund-size-bloat/)
* [Free module 4.2Position Sizing8 min read](/learn/path-4/module-4-2-position-sizing)
* [Free module 4.5Risk Management for Systematic Portfolios9 min read](/learn/path-4/module-4-5-risk-management)
* [StrategyFocused Largecap 20 strategyNifty 100, 20 stocks, every 4 weeks](/strategies/focused-largecap-20)
* [CalculatorDrawdown and recoveryFree, with the formula and a worked example](/learn/tools/drawdown-recovery-calculator)

      Community

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06Keep going

## Learn the idea, see it applied.

  [Module 4.2Position Sizing8 min read, Path 04](/learn/path-4/module-4-2-position-sizing)[Module 4.5Risk Management for Systematic Portfolios9 min read, Path 04](/learn/path-4/module-4-5-risk-management)[The matching indexFocused Largecap 2020 largecap stocks, 4-week rotation. Pure equity on the Nifty 100.CAGR26.3%Sharpe1.20Max DD−23.6%Model, back tested, as of 27 Apr 2026. Not client returns, not a promise. Risk band: Moderately High.](/strategies/focused-largecap-20)

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  Education only, not investment advice. RupeeCase is a technology platform operated by QC Alpha Technologies Pvt Ltd; it is not a fund, a PMS or a SEBI registered investment adviser. Model returns are back tested and not a promise of future returns. Figures carry the date they were checked.