A little OT--Calculating returns
THREAD--Maybe a short discussion of how to calculate return is in order. One person I know calculates his options gain percentages based on the cost of the options, and ignores the money he constantly has sitting on the sidelines waiting for his opportunities (And, I'm constantly hearing him say, "Oh, darn, I was watching that stock!") . I believe return should be calculated based on total funds dedicated to the stock portion of your portfolio, whether currently invested or not.
LoF, based on the 10,500% stated return in your profile, how are you calculating? If you started with $10,000, you should have $1,050,000 at 12/31. If you started with $50,000 in total capital, you should now have $5.25 MM. Am I right? (If so, congratulations! It was great to be a Dellhead, I guess!)
btw, has anyone calculated the return possible if your total investment in Q in 1999 had been in options or leaps?
Best,
JS
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