The Risk Governor operates above individual strategy signals, at the portfolio level: capping how much exposure any single symbol or sector/category can accumulate (so "long five different altcoins" doesn't quietly become one large correlated bet), limiting how many strategies can hold the same name at once (a crowding cap), and stepping position sizing down, or triggering the kill-switch entirely, as portfolio drawdown deepens.
No individual strategy signal can override the Governor: a strategy can generate a valid entry signal and still have that trade reduced in size, or blocked outright, if taking it would breach a portfolio-level limit the Governor is enforcing.
This is the layer specifically responsible for "survival first" as an actual mechanism, not just a stated value. It's what stops a string of correlated signals across multiple strategies from compounding into a concentration risk no single strategy's own rules would have caught on its own.
Educational content, not investment advice. zengtrade is paper-first and non-custodial.