How did you grow your account into a big one?

Discussion in 'Professional Trading' started by careless, May 14, 2013.

  1. careless


    Through saving and trading I have build up my trading account to 50k. With my current performance (20-30% per year part time position trading) it takes a long time to grow it into something meaningful, like 500k.
    For those that where at this point in their past, how did you make your account grow substantially. Are you just grow it by small steps? Took you greater that usual risks? Got you lucky with a trade? Became you better at trading and realized higher yearly returns? Switched you to trading shorter time frames?...

    Would be interested in hearing your stories.
  2. I can't relate to taking a $50k to $.5mil but aside from just piling into some pharma company that invents the next Big Thing and riding it for a 10 bagger, here is another way, if you are a system trader:

    Step 1: reduce your drawdowns while keeping return the same

    Step 2: slowly add leverage

    Step 3: keep adding until you can't sleep at night

    Step 4: reduce size slightly

    Step 5: take up a full-contact sport, or something that will release a lot of endorphins every day :)

    ....It all basically begins with step 1: improving your edge. Sometimes just rolling 10 edges into 1 portfolio will have the needed effect. :eek:
  3. gmst


    If experienced people chime in with their stories, this thread has a great potential to become one of very good threads on ET.

    Even though you are just quoting theory and not sharing personal experience, but above point is very true. Cheers.
  4. To what the above poster suggested I would like to add to do daily cardio.

    A healthy heart is imperative when your daily profession can have its stressful moments, I know many claim you should be a robot for trading but unless you are fully automated, as much we try, robots we will never be.
  5. d08


    I've only grown bigger, not big.
    * Focusing on what works and stopped wasting time on stuff that doesn't produce any profits.
    * Knowing when to let go of strategies.
    * Being consistent in sticking with the plan when everything is performing within risk parameters.
    * Compounding, compounding, compounding.
    * And like the previous poster said, a healthy body keeps the mind sharp.
  6. Would help to avoid the Wipe Out from one bad trade, or series of trades.
  7. Couldn't have said it better. Weightlifting would do as physical exercise too though.
  8. If you're single, low debts and low overhead trading costs....compound, compound and compound the profits.

    In contrast, if you're a family guy, paying private medical/dental insurance, health costs not covered by insurance, mortgage and other normal family expenses (e.g. kids education)...compound is not on your mind. You're most likely putting money away (profits) in a savings plan, investments, retirement plan, properties for a raining day if needed.

    My money made its biggest (fastest) leap when I was single, no debts and no financial responsibilities to others.
  9. Maybe a barbell strategy is the solution for you?
  10. Isn't that something desirable when interest rates are rising (increasing). :confused:
    #10     May 14, 2013