State of Mind (Part 1)

I have talked to many traders over the years, e-mailed even more, and met some in person. Aside from being the most successful trader I know, I am the only successful trader I know.

Upon further reflection, this really is not surprising. Others may disclose results of specific trades or less commonly overall PnL but these are unverified claims since people always have potential reasons to deceive. I do my own trades and keep the spreadsheets. I get my own brokerage statements. I see my annual tax returns. I pay the taxes. I get unsolicited feedback from my accountant. I know how much I have made.

Because trading tends to be a solitary pursuit, I doubt my situation is unique. I try to network with others and I have even found others, intermittently, with whom to talk trading on a regular basis. These are acquaintances who may become friends but they are not people with whom I share intimate financial details like total net worth, annual income, etc. I think for many, such details are even hidden from close family members.

So I am the most successful trader that I know and this realization brings two things come to mind.

First, I do not feel wildly successful. By no stretch of the imagination am I any sort of “mogul.” I am not “rich,” I don’t have money to burn, and I still need work to pay the bills. I have accomplished one goal of leaving my corporate job and more than replacing the annual income. I would say my financial position is solid and has improved over the last several years but I still have a ways to go.

I cannot really say whether my overall performance is good or bad. As suggested above, I don’t know these intimate financial details about anyone else. I don’t even know anyone who trades full-time as a business like I do. I therefore have no yardstick with which to measure and this is probably another reason why I feel like anything but a prodigy.

I will conclude with the next post.