# What you need to bank R20,000 a month with Pickpocket Trader

by , 28 October 2020

In the last Trading Tips article, we revealed Pickpocket Trader's track record for 2020.

And we saw that in just 10 months, with 9 losing traders and 15 winning trades, how you could have achieved a 49% return on your portfolio…

In this article, I promised to show you how you can bank R20,000 a month with Pickpocket Trader using a simple formula.

Let's get to it…

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Were you one of the lucky Pickpocket Trader subscribers who cashed in on this huge profit on the Rand?

No?

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Let’s say, you’d like to bank R20,000 a month on average, when it comes to trading.

First, we’ll need to weigh up the statistics on what the portfolio has achieved over time.

In this case, we’ll use Pickpocket Trader’s stats for 2020.

Here are the metrics we’ll need:

Metric #1: Expected number of winning trades per month
Metric #2: Expected number of losing trades per month
Metric #3: % Gain per trade (Reward)
Metric #4: % Loss per trade (Risk)

And based on the track record you saw last week, we can fill in the metrics…

And when it comes to the, average, number of losing and winning trades:

5 have been winners
3 have been losers

They have also achieved a decent 62.5% win rate.

Now all that’s left is the risk you’ll take per trade and the expected gain % per trade.

Let’s say you set your risk management where you risk 2% of your portfolio per losing trade in order to make 4% of your portfolio per winning trade...

4% X 5 winners = 20% gain on your portfolio
2% X 3 losers = 9% loss on your portfolio

This means, you’ll net an average of around 14% (20% - 9%) gain a month...

And remember, we want to bank R20,000 a month. Now we have everything to plug into the Monthly Income Calculation:

Portfolio account to start = (Average income p.m ÷ Net % gain p.m)
= R20,000 ÷ 14%
= R7,142.86

This means to make an average R20,000 a month on trading considering the above conditions, you’ll roughly need a R142,857 portfolio…

But for Trader X to bank these returns, means he needs to take every single trade that lines up according to the Pickpocket Trader strategy.

Miss one trade and you stand to miss out on a large portfolio of profits, which will screw up everything.

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I'd like to send you THREE specific investment recommendations based entirely on this secret for free

It’s how Warren Buffett built his \$80.5 billion fortune!

It’s how Sir John Templeton quadrupled his money...

And how Walter Schloss (you’ve probably never even heard of him) took home R190million in a year.

It’s perhaps the most unfair advantage an investor can have in the markets.

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Hey! I don’t have that kind of money yet!

I understand that if you’re new to trading and you don’t have that amount of money to start off with, you can easily drop the monthly income value…

In fact, most new traders are happy to bank an extra R5,000 a month trading…

In that case, you’ll use the exact same calculation.

And now that we have the stats and money management metrics, we can calculate it easily…

Portfolio account to start = (Average income p.m ÷ Net % gain p.m)
= R5,000 ÷ 4%
= R35,714.

This means, to make an average R5,000 gain a month trading, with the, you’ll need around R35,714 in your portfolio.

Best yet, this calculation doesn’t even include compounding!

This means, if you re-invest your winnings – you’ll grow your portfolio at an even faster rate and with larger returns…

The potential for this is endless… If you’re not on board with Pickpocket Trader, I urge you to join now as Trader X is currently on a winning streak of note.

Timon Rossolimos