Traders describe a position as risk-free once the stop covers the entry plus costs. Mechanically this is true: from here, a normal exit cannot produce a loss, and open-trade-risk is zero or negative.
Two honest caveats. First, gaps and halts can still take the price straight through the stop, so the correct phrase is low risk rather than no risk. Second, the framing encourages sloppiness - "house money" thinking leads to holding through obvious exits and adding size, as though the open profit is somehow less real than deposited cash. It is exactly as real.
Used well, the concept is about capacity rather than comfort: positions with zero open risk do not consume the max-open-risk budget, so they let you carry more ideas at once.
Related: open-trade-risk, max-open-risk