The Traders Expo Las Vegas Attendee Survey November 2013

Transcription

1 The Traders Expo Las Vegas Attendee Survey November 2013 Methodology After The Traders Expo Las Vegas, produced by MoneyShow, was held November 20-23, 2013, 163 attendees completed an online questionnaire regarding their trading characteristics, sources of information, and demographics. To get a higher response rate, a prize incentive was offered in the form of a drawing among respondents for $100 cash. The maximum margin of error for the survey is plus or minus 6.9%. Key Findings Over one in five attendees at The Traders Expo Las Vegas (22%) are professional traders. Over nine in ten (93%) attendees trade from home with their own money, 4% trade at a trading office with their own money, and 3% trade for a firm s trading account. Over half of attendees are very experienced (15%) or experienced (38%) traders. Over one-third are somewhat experienced (36%), and 11% consider themselves beginners. When asked how long they have been trading, 4% have been trading less than one year, another 15% have traded from one to three years, one-fourth (26%) for four to ten years, and half (50%) have traded more than ten years. Just 5% were not yet trading. Newspapers and magazines read most often for their education, strategies, or other information about trading and investments include: Investor's Business Daily (29%), The Wall Street Journal (23%), Barron's (18%), local or regional newspapers (14%), Forbes (13%), Money Magazine (10%), Futures magazine (10%), Bloomberg BusinessWeek (9%), The Economist (9%), Fortune (8%), Kiplinger s (8%), Technical Analysis of Stocks & Commodities (8%), Bloomberg Markets (6%), AAII Journal (5%), and Active Trader Magazine (4%). The most frequently mentioned Web sites used for trading education, strategies, or other information about trading and investments include: Yahoo! Finance (36%), TD Ameritrade/thinkorswim (27%), CNBC.com (22%), Fidelity.com (18%), Bloomberg.com (14%), (Charles) Schwab.com (13%), StockCharts.com (10%), Google Finance (10%), and optionsxpress.com (9%). Several other sites were mentioned by fewer than 8% or more. Nearly one-fifth of attendees (17%) primarily trade with a direct execution broker. Of those attendees, the direct execution brokers used most often for trading are: TD Ameritrade/thinkorswim (30%), TradeStation (23%), Fidelity (17%), and Interactive Brokers (13%). More than four of five attendees (83%) primarily trade with an Internet or Web-based broker. Most often mentioned are: TD Ameritrade/thinkorswim (37%), Fidelity (27%), Charles Schwab (17%), Scottrade (10%), optionsxpress.com (10%), Tradestation (8%), E*TRADE (7%), and Interactive Brokers (6%). Two-thirds (66%) of attendees say their data feed is included with their trading system/platform, whereas 14% pay for a streaming, real-time data feed, and 2% pay for a streaming delayed data feed. Top streaming, real-time data feed service providers are TradeStation (39%), TC2000-Worden (22%), and Interactive Data (9%). The Traders Expo Las Vegas Survey November 2013 Page 1

2 Excluding commissions, 11% of attendees spend more than $200 per month on trading services such as quote feeds, analysis software, chat rooms, newsletters, etc. Four percent spend more than $400 per month. Over one-third (38%) spend $50 to $200 monthly. More than four in ten attendees (42%) trade 25 or more times per month on average, with 13% trading 100 or more times per month, and 2% trade 500 or more times per month. The average is 65 times per month. Over one-third of attendees (38%) keep more than $150,000 in their active trading account and nearly half (47%) keep $100,000 or more. Nearly all attendees (95%) regularly trade stocks, two-thirds (65%) options, 54% ETFs (exchange traded funds), 24% indices, 16% E-mini stock index futures and futures, 15% foreign currency (forex), 13% commodities, 11% bonds, and just 1% binary options. Other assets owned by traders, that are not actively traded, include: individual stocks (39%), mutual funds (31%), real estate investments other than primary residence (22%), exchange traded funds (ETFs) (17%), money markets/cds/cash (15%), bonds (14%), REITS or REIT funds (13%), alternative investments (10%), and precious metals (10%). Other investments were mentioned by 9% or fewer investors. In the future, attendees are considering trading these new markets or products that they do not already trade: options (25%), E-mini stock index futures (17%), futures (16%), ETFs (16%), foreign currency (forex) (15%), commodities (11%), binary options (6%), bonds (6%), stocks (6%), and indices (5%). About one-third of attendees would like to learn more about trading ETFs (32%), futures trading (30%), or trading education providers (28%). About one in five attendees are interested in learning more about charting software providers (21%), foreign exchange trading (forex) (21%), options software providers (21%), or binary options (19%). Thirteen percent each are interested in learning more about currency futures trading, automated trading service providers, or trading software providers. Another 11% want to learn more about online brokers, stock and futures exchanges (8%), or alternative investments (7%). Attendees were asked about the value of their total investment portfolios, including real estate, retirement accounts, bank accounts, or other investments. Of those responding, over half (53%) report a value of $500,000 or more, and 34% report $1 million or more. A majority of attendees at The Traders Expo Las Vegas are men (88%), with one-third under age 55 and 34% between 55 to 64 years. Moreover, nearly all have some college education (93%) with over half having post-graduate education (54%). Four in ten (39%) have post-graduate degrees. Prepared by MarketSmart Services Janet Goodfriend, President of MarketSmart Services The survey data was analyzed by Janet Goodfriend, President of MarketSmart Services, a market research firm operating in St. Petersburg, FL since Janet earned her MBA from the University of South Florida and has been working in the market research industry for over 20 years. She is a member of the AMA (American Marketing Association) and adheres to the CASRO code of ethics for survey research 2014 MoneyShow. All rights reserved. This survey was produced for MoneyShow, the global financial media and education company. Visit for more information. The Traders Expo Las Vegas Survey November 2013 Page 2

3 Survey Results A total of 163 attendees answered each question unless otherwise noted. Q1. What is your experience level as a trader? Do you consider yourself a beginner, somewhat experienced, experienced, or very experienced? 11% Beginner 36% Somewhat experienced 38% Experienced 15% Very experienced Q2. How long have you been trading? 5% I don t trade yet 4% Less than one year 15% 1 to 3 years 26% 4 to 10 years 50% Over 10 years Q3. Are you a professional trader, meaning do you trade for a living with no other job? 22% Yes 78% No Q4. Do you trade primarily for a firm or do you trade only your own assets, and from where do you trade? 93% I trade from home with my own money 4% I trade at a trading office with my own money 3% I trade for a firm's trading account (184) (BASE) Q5. Which newspapers and magazines do you read on a regular basis for your trading education, strategies, or other information about trading and investments? (Select all that apply) 29% Investor's Business Daily 23% Wall Street Journal 18% Barron's 14% Newspaper, local or regional 13% Forbes 10% Money Magazine 10% Futures Magazine 9% Bloomberg BusinessWeek 9% (The) Economist 8% Fortune 8% Kiplinger's 8% Technical Analysis of Stocks & Commodities 6% Bloomberg Markets 5% AAII Journal 4% Active Trader Magazine 3% New York Times 3% Currency Trader (an e-zine) 3% Value Line 2% Financial Times The Traders Expo Las Vegas Survey November 2013 Page 3

4 2% Traders Magazine (official publication of the Security Traders Association) 1% Equities Magazine 1% FX Trader Magazine 1% Futures Industry Magazine (FIA) 19% None 6% I prefer not to answer 6% Other, please specify (182) (BASE) Q6. Which two to three online sites do you use most often for your trading education, strategies, or other information about trading and investments? (Check all that apply) 36% Yahoo! Finance 27% TD Ameritrade/thinkorswim 22% CNBC.com 18% Fidelity.com 14% Bloomberg.com 13% (Charles) Schwab.com 10% StockCharts.com 10% Google Finance 9% optionsxpress.com 8% CBOE.com 8% Tradestation.com 7% CNNMoney.com 7% Investopedia 7% MarketWatch 7% Investors.com (Investor's Business Daily's Web site) 7% Scottrade 6% Briefing.com 6% Fool.com (Motley Fool) 6% MoneyShow.com 6% TheStreet.com 6% Zack's 5% SchaeffersResearch.com 5% FreeStockCharts.com (Worden Bros) 4% CMEGroup.com 4% Morningstar.com 3% E*TRADE 3% Vectorvest.com 3% Barron's Online 3% Dailyfx.com 3% MSN Money 3% WSJ.com/Wall Street Journal Interactive 2% FuturesMag.com 2% Action Forex 2% BigMikeTrading.com 2% BusinessWeek.com 2% ETF Channel 2% FXStreet.com 2% Nasdaq.com 2% Reuters.com 1% DailyFinance (AOL) 1% DailyGraphs.com 1% Forbes.com The Traders Expo Las Vegas Survey November 2013 Page 4

5 1% Investing.com 1% Investor's Toolbox/Investools 1% Minyanville 1% NYTimes.com 1% Optionetics 1% Benzinga.com 1% DailyForex.com 1% EliteTrader.com 1% esignal 1% ForexNews.com 1% Trade2Win.com 5% None of these 1% Not sure/don t know 3% Prefer not to answer 15% Other mentions (179) (BASE) Q7. Do you primarily trade with a direct access broker or with a Web-based broker? 83% Internet/Web site based 17% Direct Execution (177) (BASE) Q8. If you primarily trade with a direct access broker, what is the name of the company or service that provides your direct access trading account most of the time? 30% TD Ameritrade/thinkorswim 23% TradeStation 17% Fidelity 13% Interactive Brokers 7% Charles Schwab 7% Scottrade 3% E*TRADE 3% FXCM (Forex Capital Markets) 3% Infinity Futures 3% OptionsHouse 3% optionsxpress 7% Not sure/don t know 17% Other mentions (30) (BASE) Q9. If you primarily trade with an Internet or Web-based broker, which brokers do you generally use for your trading? 37% TD Ameritrade/thinkorswim 27% Fidelity 17% Charles Schwab 10% Scottrade 10% optionsxpress 8% TradeStation 7% E*TRADE 6% Interactive Brokers 3% Merrill Edge 3% Vanguard 1% OptionsHouse 1% TradeKing (Zecco.com) 1% CitiFX The Traders Expo Las Vegas Survey November 2013 Page 5

6 1% Ditto Trade (formerly A.B. Watley) 1% IBFX 1% Trade Monster 2% None of these/i don t trade with an online broker 10% Other mentions 4% Not sure/don t know/refused (147) (BASE) Q10. Do you pay for your data feed? 14% Yes, I pay for a streaming, real-time data feed 2% Yes, I pay for a streaming delayed data feed 0% Yes, I pay for historical end-of-day or tick-by-tick historical data (non streaming) 66% No, my data feed is included with my trading system or platform 18% No, I get my data and/or price quotes free off the Internet (177) (BASE) Q11. If you pay for streaming, real-time data feed, which service provider do you use? 42% TradeStation 21% TC2000-Worden 9% Interactive Data 4% DTN 4% E*TRADE 4% Metastock 4% Not sure/don t know 13% Other mentions (23) (BASE) Q12. Excluding commissions, how much money do you spend on a monthly basis on trading services such as quote feeds, analysis software, chat rooms, newsletters, etc.? 51% Less than $50 per month 38% $50-$200 per month 7% $ per month 4% $400+ per month (167) (BASE) Q13. How many trades do you average per month? 15% Less than 5 7% Refused/Don t know 36% % % % % 500+ (169) (BASE) Q14. What types of markets do you regularly trade? (Please select all that apply) 95% Stocks 65% Options 54% Exchange Traded Funds (ETFs) 24% Indices 16% E-Mini Stock Index Futures 16% Futures 15% Foreign Currency (Forex) 13% Commodities 11% Bonds 1% Binary Options (141) (BASE) The Traders Expo Las Vegas Survey November 2013 Page 6

7 Q15. Which of the following products are you considering trading in the future, that you don't already trade? (Please check all that apply) 25% Options 17% E-mini Stock Index Futures (e.g. E-mini S&P 500, E-mini NASDAQ-100) 16% Futures 16% Exchange Traded Funds (ETFs) 15% Foreign Currency 11% Commodities 6% Binary options 6% Bonds 6% Stocks 5% Indices (141) (BASE) Q16. Where are your other assets invested, those that are not actively traded? (Please select all that apply) 39% Stocks 31% Mutual Funds 22% Real Estate Investments (other than primary residence) 17% Exchange Traded Funds (ETFs) 15% Money Markets/CDs/Cash 14% Bonds 13% REITS or REIT Funds 10% Alternative Investments (art, cars, collectibles, stamps, wine, etc.) 10% Precious metals (coins, bullion, etc) and/or Gems (diamonds, etc) 9% Options 6% Master Limited Partnerships (MLPs) 5% Stocks of foreign companies or ADRs (American Depositary Receipts) 5% Commodities 5% Energy/Mining 4% E-mini Stock Index Futures (e.g. E-mini S&P 500, E-mini NASDAQ-100) 4% Government Backed Securities, Treasury Bills, etc. 2% Foreign Currency (Forex) 2% Futures 1% Funds of (Hedge) Funds 1% Hedge Funds 5% None of the above 2% Not sure 11% I prefer not to answer 3% Other, please specify (169) (BASE) The Traders Expo Las Vegas Survey November 2013 Page 7

8 Q17. Would you like to learn more about the following? 32% Exchange Traded Funds (ETFs) 30% Futures Trading 28% Trading Education Providers 21% Charting Software Providers 21% Foreign Exchange Trading (Forex) 21% Options Software Providers 19% Binary Options 13% Currency Futures Trading 13% Automated Trading Service Providers 13% Trading Software Providers 11% Online Brokers 8% Stock and Futures Exchanges 7% Alternative Investments (stamps, wine, art, cars, etc.) 10% Other, please specify (112) (BASE) Q18. How much money do you normally keep in your active trading account(s) (non-retirement funds)? 14% Zero to $9,999 25% Refused 12% $10,000 - $24,999 15% 25,000-$49,999 12% $50,000-$99,999 9% $100,000-$149,999 38% $150,000 or more (166) (BASE) Q19. Thinking about your total investments, including real estate, retirement accounts, bank accounts or other investments, which category below best represents the size of your portfolio? 6% Under $50,000 38% Refused/not sure 8% $50,000 to $$99,999 17% $100,000 to $249,000 17% $250,000 to $499,999 19% $500,000 to $999,999 19% $1 million to $2.49 million 10% $2.5 million to $4.9 million 3% $5 million to $9.9 million 2% $10 million or more (166) (BASE) Q20. Which category below best represents your total annual household income before taxes from all household members and all sources of income? 10% Less than $50,000 36% Refused 15% $50,000 - $74,999 20% $75,000 - $99,999 14% $100,000 - $124,999 14% $125,000 - $149,999 26% Above $150,000 (106) (BASE) The Traders Expo Las Vegas Survey November 2013 Page 8

9 Q21. Which is your age group? 5% Less than 34 years 6% 35 to 44 23% 45 to 54 34% 55 to 64 32% 65 or older (166) (BASE) Q22. What is the highest level of schooling you have completed? 2% Less than high school graduate 2% High school graduate 4% Special or technical training (not college) 15% Some college (includes associate degree) 24% College graduate 15% Some post-graduate work 39% Post-graduate degree (166) (BASE) Q23. Gender 88% Male 12% Female (165) (BASE) The Traders Expo Las Vegas Survey November 2013 Page 9