How Much $$$ Are You Managing?

How Much $$$ Are You Managing?

  • I actively manage 1-25% of my net worth.

    Votes: 18 22.2%

  • I actively manage 26-50% of my net worth.

    Votes: 12 14.8%

  • I actively manage 51-75% of my net worth.

    Votes: 6 7.4%

  • I actively manage 75-100% of my net worth.

    Votes: 45 55.6%
  • Total voters
    81
Quote from Martinghoul:

Ah, so, clearly, this poll applies only to a specific subset of traders? For example, your logic doesn't make a lot of sense for people who don't trade full-time or, otherwise, manage OPM...
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Yes, that's true. It query's personal wealth under (self) management and part-timers would mostly not be undertaking this likely full-time endeavor.
 
Quote from Millionaire:

If you are good trader and start out with say 20% of your net worth undermangement.

After a few years of compounding that is going to turn into almost 100%.
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Maybe I am not understanding the point but for me it is exactly the opposite.

When starting out , I actively managed every cent I had, but now over 30 years later, I actively manage only a relatively small % of my net worth. I include in my net worth a paid off residence, CDs and a pension.

Thankfully I do not have a need to risk more to make more.

Joe.
 
Quote from u21c3f6:

Maybe I am not understanding the point but for me it is exactly the opposite.

When starting out , I actively managed every cent I had, but now over 30 years later, I actively manage only a relatively small % of my net worth. I include in my net worth a paid off residence, CDs and a pension.

Thankfully I do not have a need to risk more to make more.

Joe.
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There is a difference between trading a short-term strategy or approach versus compounding a powerful long-term approach.

They are two different animals. Say 200k is 1/10 your net worth. You are happy and confident - not to mention sensible.

You are accomplished and can scalp or extract routine positive trades - <i>in a linear fashion</i> or say 75k on average per year. In five years you'd have made 375k on that same 200k - a true winning approach!

On the other hand, Joe #2 may have the same experience excepting one major difference. He has manages to develop a "system" that can <i>average</i> say that same (75/200) 37.5% return -- but plows back all of his return back into his investment trades (compounding).

This simple difference would yield <b>783k</b> off that same 200k base.

http://twitter.com/hedgefundsguru
 
wow! i had no idea some were investing 100%.
i just started day trading full time and i'm 35% vested, but i don't even come close to using the full dtbp.......

just curious:

do most day traders use the full leverage of the dtbp?

if not then what would be a near optimal % of dtbp?
 
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