Margin Account Trading Statistics
2008 through 10/31/2008
 
Here I publish various statistics from my Margin Trading Account.  These stats are generated directly from Tradestation, so I have no control over them.  The highlighted data points are explained below.
  
 

Total Net Profit:  The net of all winning trade profits minus all losing trade losses. 

 

Profit Factor:  Gross Profit / Gross Loss.  This measures how profitable your trading is.  Any value over 1.00 means you make money.  Mine is currently 3.86, which means for every dollar I lose, I make $3.86 in profits.  My goal is to keep this above 2.00.  This improved from 3.78 last month.

 

Total Number of Trades:  Yes, I’ve made 648 trades in this account, mostly long, but some short.  My short positions are normally done with long options.

 

Percent Profitable:  This is simply the number of Winning Trades divided by Total Number of Trades.  This month's value of 75.62% is a slight improvement over last month's cumulative total of 75.00%.  Not bad for having made over 600 trades.

 

Ratio Avg. Win: Avg. Loss:  This is the third of the important figures I watch (the others being Profit Factor and Percent Profitable over different time frames).  For 2008 so far, my average win, in dollars, was 1.24 times my average loss.  My goal is to maintain this greater than 1.00.

 

Return on Initial Capital (ROIC):  On January 1, 2008, my account was worth about $47,000 since I held some losing open stock positions.  Since that time, I have generated $99,728 in profits.  The ROIC here is 212%, meaning I have more than tripled my account this year (before subtracting withdrawals I need to make to pay the bills).

 

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