How to Scale Your Credit Target Per Entry

For every 1% target return this is the amount of credit you will have on the books. If we take that credit and divide by the net lick which is b2 this is the one you said we get 0.27 percent so now we finally see where this value at risk comes from. I'm using a 2x loss to evaluate level one book wipe risk and I'm using 7x loss as the new risk if you have the bomb shelter and if you don't it's 15. This analysis is sort of simulated based on 20% down VIX80 so take it with a grain of salt but right now no bomb shelter on it's a 4x drawdown rather than 3X