Risk Manager for MT4 – Comprehensive Risk Management for MetaTrader 4

The Risk Manager for MT4 is an expert advisor designed to help traders control risk in their MetaTrader 4 trading accounts. Developed by Sergey Batudayev and available on the MetaTrader Market, this utility aims to give traders more control and insight over their trading activities.

Risk Manager for MT4

Download Free Risk Manager for MT4

Overview and Features

The core functionality of the Risk Manager for MT4 centers around limiting losses and controlling risk exposure over various time frames. Traders can set daily, weekly, and monthly loss limits, as well as a maximum allowable trade size and number of orders per day.

The utility also has equity monitoring features. It can track performance over the specified time frames and send alerts when loss limits are reached or profit targets are achieved. This can help prompt traders to close positions and stop trading when risk limits have been exceeded.

Some key features of the Risk Manager for MT4 include:

  • Daily, weekly, and monthly loss limits
  • Maximum allowable trade size/lots
  • Maximum number of trades per day
  • Equity monitoring and alerts
  • Trading pair restrictions
  • Partial close by equity

These parameters give traders significant control over their risk management strategy. The different time frames allow risk to be adjusted based on short-term volatility as well as longer-term drawdowns.

Ease of Use

One of the advantages of the Risk Manager for MT4 is that it is very simple to set up and use. The utility runs as an expert advisor, so all the trader needs to do is drag it onto a chart in MetaTrader 4.

In the Inputs section, traders can easily update the key risk management parameters mentioned above. No coding is required. The interface and variables are straightforward for most traders to understand.

The advisor then runs silently in the background, monitoring trading activity and equity swings. It can send pop-up alerts and close positions automatically when risk limits are exceeded. No ongoing adjustment is needed as trades are placed.

For traders struggling to control emotions and overtrading, the Risk Manager for MT4 can act as an objective third party to enforce disciplined risk management. The forced trade closures and alerts can snap traders out of revenge trading mindsets when on a losing streak.

Customization Options

While the basic functionality covers the most important risk management features, the Risk Manager for MT4 does have some customization options as well.

Traders can specify which currency pairs are allowed for trading. All other pairs not included in the list will be restricted by the advisor. This can prevent traders from straying into more exotic or volatile pairs that may exceed their risk tolerance.

The advisor also has a partial close by equity feature. This allows positions to be scaled out incrementally as profit targets are reached. Traders specify an equity interval percentage, and the advisor will close a portion of the open profit when equity increases by that amount.

Finally, the utility allows different settings to be used on different time frames. For example, a swing trader may want to allow a higher daily loss limit compared to a scalper who closes all positions by the end of the day. This flexibility caters to different trading horizons and strategies.

Risk Manager for MT4 Drawbacks

The Risk Manager for MT4 hits all the major risk management features traders need, but there are some drawbacks to consider as well:

No advanced order management – The advisor focuses solely on risk parameters and does not provide advanced order management functionality like partial closes based on indicators or auto breakevens. Traders looking for these features may need to use it in combination with other tools.

Locked to MetaTrader 4 – As an expert advisor, the utility can only run within the MT4 platform. Traders using other platforms would need to code up similar functionality through MQL programming, or use alternative tools outside of MT4.

No money management – The Risk Manager does not directly help with position sizing or money management. It allows traders to input a maximum allowable trade size, but does not calculate these values dynamically based on account balance and risk.

Price – While reasonably priced compared to advanced trade management suites, the $99 price tag may deter some traders on a budget simply looking for basic risk management.

So while not a perfect solution across the board, the Risk Manager for MT4 hits the core requirements for most traders focused specifically on risk parameters and equity protection.

Risk Manager for MT4 Conclusion

Overall, the Risk Manager for MT4 lives up to its name by providing a robust set of risk and equity management features. The combination of loss limits, max trade sizes, equity alerts, and automatic closes gives traders significant control over their risk taking.

The ease of use is also a major advantage, making disciplined risk management accessible to traders without any coding skills. For $99, traders get a simple but effective solution to avoid blowing up accounts and enforce more prudent position management.

In the exciting world of trading, the Risk Manager acts as an impartial third party to take over when human judgement fails. By predefining and automating risk rules, traders can finally overcome the destructive impulses standing in the way of long-term profitability.

So if you have struggled to stick to a defined risk management plan, give the Risk Manager for MT4 a try. It could be the missing piece that brings consistency and longevity to your trading career.

Author: Dominic Walsh

I am a highly regarded trader, author & coach with over 16 years of experience trading financial markets. Today I am recognized by many as a forex strategy developer. After starting blogging in 2014, I became one of the world's most widely followed forex trading coaches, with a monthly readership of more than 40,000 traders! Make sure to follow me on social media: Instagram | Facebook | Youtube| Twitter | Pinterest | Medium | Quora | Reddit | Telegram Channel

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