Access planning: if something happens

[Shadow Trader]

An uncomfortable topic, and an important one. If a trader is suddenly unable to manage accounts, due to illness, accident or worse, what happens to open positions, funds and automated systems?

Basic preparation includes a trusted person who knows the accounts exist, where the documentation is, and who to contact at the brokers. Written instructions: how to close positions, how to stop automated systems, and what the priorities are. Secure storage of credentials, using a password manager with an emergency access feature or a sealed record kept safely.

Brokers have their own procedures for deceased or incapacitated clients, usually requiring legal documents. Knowing those in advance helps the family.

Automated systems need a safe failure mode: positions with server-side stops, daily loss limits, and monitoring that alerts a second person if the system stops reporting.

Legal arrangements, like a will and a power of attorney, should account for trading assets. A lawyer can advise on the specifics for the jurisdiction.

Planning for the worst is a form of respect for the people who would have to deal with it.

A sensible extra is a short list of "first 24 hours" actions for the trusted person: who to call, which accounts to freeze, which positions to close, where the documents are. Clear priorities help people act calmly when they're upset and unfamiliar with markets.

Is there a plan in place for accounts and systems if the trader becomes unavailable, and who knows about it?