Whether you're an investor or trader, it is important to trade or invest with the amount of money you can afford to lose. Investing and trading involve risks, and there's always a possibility of losing your money. Putting all your eggs in one basket can lead to significant financial problems if you face losses. Instead, consider starting with a smaller amount to test the waters and see how it goes. When you're on a winning streak and your trading or investing is going well, you will likely make a profit and enjoy the process. But, it is essential to remember that winning streaks don't last forever, and losses are inevitable.
Don't assume you'll always make a profit and invest large sums of money, because this can lead to significant financial problems if you lose. It's better to be cautious and manage your risk exposure to avoid financial difficulties.