Capital Progression Calculation in Perl

[Sparrow 10]

Hi,

 

I wrote a small script to help me calculate capital progression, it's written in perl and has no user interface so most of you guys won't be able to use it.

 

It's based on the idea that you know your average gain per contract per day. Number of contracts is determined by dividing your account balance by an minimum amount you require to have for a contract. Contracts will be added once you have enough capital.

 

Monthly capital outtakes and taxes are also taken into account.

 

It's very simplified and most winning trader's progression will not be as linear as this script assumes. Consistency is for many people a problem. For a low amount of contracts though it could be accurate if the input matches the reality.

 

The results are kinda interesting, dunno though if all of the formulas are correct.

 

Cheers

capital_progression.zip

[Soultrader 12]

Hi Sparrow,

 

What software do I need to open this file?

[Sparrow 10]

Hi James,

 

For windows you'd need to install perl but that would be a waste for just running my little script.

I just use perl for quick hacks, can put something together very quickly.

 

Cheers

[Sparrow 10]

There was a small bug, which increased taxes after the first year.

capital_progression.zip

[Sparrow 10]

Playing with these numbers is one of my favorite games .

Here is the script converted to exe.

 

works like this:

 

capital_progression.pl [start_capital] [$money_per_lot] [$avg_profit_per_lot] [stop_after_#_lots_gained] [outtake_monthly] [outtake_start] [taxes_anually_percent] [taxes_anually_start]

 

example:

 

capital_progression.exe 10000 1000 5 5000 2000 180 10 0

 

start capital is 10000, lot size 1000, average daily profit per lot is 5 which means we have a 0.5% edge, the script stops

after we'd be gained 5000 lots, we'd like to start taking 2000 out of our account on a monthly basis after 180 days.

additionally we're paying 10% tax, and tax calculation starts from trading day 0.

 

result would be this:

 

t day r day capital lots g c lots

20 28 11000 11 1

39 54 12045 12 2

55 77 13005 13 3

71 99 14045 14 4

85 119 15025 15 5

98 137 16000 16 6

111 155 17040 17 7

123 172 18060 18 8

------ outtake day:182 amount: 2000 capital prev 18690 capital new 16690 ------

134 187 17010 17 9

146 204 18030 18 10

------ outtake day:212 amount: 2000 capital prev 18570 capital new 16570 ------

158 221 17050 17 11

170 238 18070 18 12

------ outtake day:242 amount: 2000 capital prev 18340 capital new 16340 ------

182 254 17060 17 13

194 271 18080 18 14

------ outtake day:273 amount: 2000 capital prev 18170 capital new 16170 ------

206 288 17050 17 15

------ outtake day:303 amount: 2000 capital prev 17985 capital new 15985 ------

218 305 16060 16 16

230 322 17020 17 17

------ outtake day:333 amount: 2000 capital prev 17700 capital new 15700 ------

242 338 16000 16 18

255 357 17040 17 19

------ outtake day:364 amount: 2000 capital prev 17465 capital new 15465 ------

------ taxes_anually:365 amount: 1954 capital prev 15540 capital new 13586 ------

268 375 14041 14 20

------ outtake day:394 amount: 2000 capital prev 15021 capital new 13021 ------

298 417 14061 14 21

------ outtake day:424 amount: 2000 capital prev 14411 capital new 12411 ------

313 438 13011 13 22

------ outtake day:455 amount: 2000 capital prev 13791 capital new 11791 ------

329 460 12011 12 23

346 484 13031 13 24

------ outtake day:485 amount: 2000 capital prev 13096 capital new 11096 ------

364 509 12031 12 25

------ outtake day:515 amount: 2000 capital prev 12271 capital new 10271 ------

383 536 11021 11 26

------ outtake day:546 amount: 2000 capital prev 11406 capital new 9406 ------

404 565 10036 10 27

------ outtake day:576 amount: 2000 capital prev 10436 capital new 8436 ------

427 597 9036 9 28

------ outtake day:606 amount: 2000 capital prev 9306 capital new 7306 ------

453 634 8006 8 29

------ outtake day:637 amount: 2000 capital prev 8086 capital new 6086 ------

------ outtake day:667 amount: 2000 capital prev 6746 capital new 4746 ------

490 686 5006 5 30

------ outtake day:697 amount: 2000 capital prev 5206 capital new 3206 ------

------ outtake day:728 amount: 2000 capital prev 3536 capital new 1536 ------

------ taxes_anually:730 amount: 1196 capital prev 1546 capital new 350 ------

------ outtake day:758 amount: 2000 capital prev 350 capital new -1650 ------

 

which means, the account wouldn't survive.

 

It's purely hypothetical but kinda fun

capital_progression_exe.zip

Edited March 7, 2008 by Sparrow