I like writing. I like giving options training presentations. I like talking to traders. I think what I like most about it is the connection. This kindred spirit connection we traders all have.
And I was thinking about this last night. Well, this morning, I guess. (I was actually thinking about this around 4 am and couldn’t sleep.) Because, if I’m communicating with my fellow traders, and want to do the most good I can for the trading community, I need to really deeply understand the answer to… Who Are Traders?
Option Trader Demographics
In the 29 years I’ve enjoyed being part of this industry, I’ve seen lots of formal studies, as well as anecdotal trader statistics. The one most thrown around (in both circles) goes something like this:
Traders are white males between 45 and 60 years old who make between $150,000 and $300,000 a year.
Listen. I talk to our community of traders every day, and those option trader demographics represent maybe half our community. Maybe half at most.
First, we have lots of women traders. And, to be clear, I’m not saying this to be polite or to make a point or to show that I can get in touch with my inner feminine side or anything, but I will tell you in fact: Some of our top traders are women. No joke.
I have been told by many people through my life in trading that “women make better traders.” And my, what they would call, “empirical observations” confirm that’s generally true. I’d say with confidence if we took the percentage of women who can consistently make money and the percentage of men who make money trading, we’d see a somewhat higher percentage for women.
We also have a good percentage of 20-something traders and some long-time past retirement age folks in our community. Surely, they come from different life perspectives in many ways. But in our MTM Community Chatroom, we’re all interacting on the same wavelength. The market sees no age demographic.
And, well, it’s not just a buncha white folks either. We have trained traders in over 50 countries—and that stat is from like 5 years ago, it’s surely more now—and every state in the Union. We have ourselves a veritable melting pot of traders over here!
Finally, in any given month, I will field messages (emails, chat DMs, whatever…) from someone telling me they are just starting out and “is a $1,000 account big enough to start?” as well as people with eye-poppingly large accounts who want to manage their money better.
And there it is.
The common thread.
Who Are Traders?
Traders are people who want a better life and make the choice to take control and make it happen for themselves.
When I ask people in webinars “What does being a successful trader mean to you?” I get some common answers (and hint: they almost never have to do with money). People say things like, “financial freedom,” “to feel in control of my account,” “to feel confident in my trading” and “to have a system so I can be consistent.”
Who Are Traders?
It really is a special breed of people. It’s this rare combination of humility and fighting spirit that is required to consistently and confidently take your piece out of this thing you can’t control that is massively bigger than you. It’s a mindset. And THAT is the only demographic.
Who Are Traders?
YOU are a trader. And I’m glad you’re here.
Founder and President
Market Taker Mentoring, Inc.