@Trader_Dante “I take abuse from a digital screen and am unemployed with special benefits, but I afforded my dream car. Don’t ask why I got it in blue. I couldn’t be happier.“
What is a solid annual return for a day trader?
This has to be one of most wildly misunderstood topics in the trading world.
I saw a guy on here today with a large following making fun of a guy for making around 50% annually on a $100k account actively trading….His exact response “so you’re better than Warren Buffett? 🤣”….. Essentially saying that 50% returns aren’t attainable as an active trader.
Also heard a prop firm owner talk about 20% being “incredible” and not easily attainable for an active trader…..
So many problems with both of these comments and beliefs.
Let’s point some things out that should go without saying:
1. Day trading and investing ARE NOT the same.
2. Trading a $5k account is not the same as trading $500k or $5M or $5B.
3. RETURNS ARE RELATIVE to account size.
4. 99.99999% of day traders have nothing in common with hedge funds so why study them or compare your returns to theirs?
5. The less money you are trading (to an extent) the easier it is to make higher % returns.
What’s actually possible?
Using my accounts as a reference (I’m a semi competent trader sometimes).
On a sub $10k futures account it’s nothing to make 100%+ in a month.
On a $50k to $100k account 500%+ annually isn’t crazy.
In my long term account (sub $5M) 40% annually without actively doing much is more than feasible.
Also I’m a nobody, there are guys out there doing 10x+ what I’m doing.
Stop having low standards.