95% are losers

Discussion in 'Trading' started by oldtime, Apr 23, 2013.

  1. I've always had a hard time with this anecdotal statistic

    95% are losers

    it took me a while to get my mind wrapped around it

    they are not talking about people like you and me

    they are talking about the guys that subscribe to chat rooms

    they are talking about the guys that watch late night infomercials and pay for books on real estate

    they aren't just talking about 95% of traders

    they are talking about 95% of humanity

    so yes, 95% lose

    that is why they are not traders
  2. they might as well be talking about 95% of sports bettors

    or 95% of people that start pet stores

    they might as well be talking about people in High School that end up failing at what they dreamed they would be doing someday when they were going to high school

    so, it's just sort of like an anecdotal statistic

    95% fail

    don't matter what really you are attempting

    they could have just said, "95% end up doing something for a living they never planned for."

    Show me that kid in High School staring out the window dreaming some day he would be a purchasing manager for a box store.

    almost nobody ends up the way they thought they would

    but it's kind of bad rap on trading just because most fail

    most fail at anything they try

    but when it is going bad, don't let that "95% fail anecdotal statistic" discourage you

    they are not talking about people like you and me

    they are talking about total dumbasses

    and they post here all the time on ET
  3. the problem with trading is

    it is very difficult to add value along the way

    and that is how most business becomes successful over time
  4. but then again, Warren Buffet never added one penny of value

    He just bought it
  5. at any rate, I consider myself to be just an average man

    but at some point when they start throwing out statistics like "95%"

    you just have to admit

    well yes, 95% are just failures

    that's the way God decreed it

    same with Darwin

    it's what is neccessary to keep the whole deal going

    so then on a bad night during a bad week after a bad month in a bad year, you have to ask yourself, "Does the top 5% rotate?"
  6. I guess, if over time, you can stay up in that top 5% you are making a pretty good showing of yourself
  7. just something to think about

    haven't updated this since 2010

    but back then

    15% beat the S&P

    of those that did, 50% beat it 3 years in a row

    and 5% beat it consistently over 5 years

    so if you are one of the ones who beat it 5 years in a row, you can truthfully say, "95% are losers."
  8. sheda


    Nice post.
  9. mspkash1


    i am tired of this baseless 90% trades lose statistic like someone went and surveyed all the traders.. and survey year after year to see if they are still in business or not.. how the hell does anyone know what is the true % of traders that do make it... reading posts on ET, it makes me think most on ET do make it in this gig :)
  10. It's simple,actually.Thats because 5% of folks holds 95% of wealth.Simple,isn't it?
    #10     Apr 23, 2013