Exposure is held only for as long as the reasons for accepting it…..hold.

If any of the conditions which prompted the exposure change, the position should be re-evaluated.

Positions are only entered into with a clear timeframe in mind, and acceptable returns are established. 

Potential for loss needs to be bound by the same criteria.

Structural volatility in share prices should be accounted for in setting stop-losses, and for when a position falls outside of expected range and position closed.