Thursday, January 03, 2008

Leap-forward Capital Investment: Closing summary

As I have mentioned in wallstreak, this account is currently positioned with 4000 shares of HOKU. Account balance currently stands at over $71K.


Account Activities/summary from January 01 thru Today.

01/01 Account Balance at $46,325.70

01/02 Bought 300 shares of AMZN at $96.79
01/02 Bought 400 shares of JASO at $71.15
01/02 Bought 500 shares of SWN at $56.87

01/03 Sold 300 shares of AMZN at $96.35 for a
loss of $142
01/03 Sold 400 shares of JASO at $74.05 for a gain of $1,150
01/03 Sold 500 shares of SWN at $58.60 for a
gain of $855

01/03 Bought 4000 shares of AKNS at $11.78 for a total cost of $47,120
01/03 Bought 3000 shares of AKNS at $12.33 for a total cost of $36,990

01/03 Sold 5000 shares of AKNS at $14.87 for a total amount of $74,350

01/03 Sold 2000 shares of AKNS at $15.15 for a total amount of $30,300
01/03 AKNS trade for a
total gain of $20,540

01/03 Bought 1000 shares of HOKU at $12.90
01/03 Bought 2000 shares of HOKU at $13.40
01/03 Bought 1000 shares of HOKU at $13.84

4 comments:

Will said...

Hi PT,

Really enjoy the blog. Would you share with us a few general points on how the Leap Forward and Ascend entities are/were set up?

I see they're apparently LLCs taxed as partnerships. Are you able to Mark To Market for the entity (and take the liberal business deductions), and then report the remaining profit/loss on sched. K-1 for the partners?

Any problems with the IRS treating the LLC's proceeds as "business income" vs. "investment income" which would restrict partners' deductions in a losing year (if you were to ever have one ;)

Is there only one partner (you) designated to access the trading account with the partnership's money in order to make trades?

Would you prefer a tax attorney or a (trading-experienced) CPA to set up an entity?

Does at least one member (in your case, you, the trading member) need to meet IRS tests for trader status to qualify the LLC as a bona fide business (vs. investment club subject to those passive activity rules again).

..reason for the questions: A few friends and I have discussed various scenarios over the last few years, and we seem to keep running into a wall (or, at least, a big grey area) when it comes to forming a clear-cut business entity which trades as its business, allowing full business treatment, but is not a hedge fund or professional trading firm subject to SEC regs.

Thanks very much for any info/advice.

Cheers,
Will

Anonymous said...

Pretty gutsy trade, Congrats! What kind of stops did you put in for your first and second busy?

EC

TVH said...

Very nice start to the new year, Pinoy! I don't think those trades were gutsy at all. You definitely have no hesitation in pyramiding, though. Both stocks traded in a narrow range. On the 15-min chart, I could see a liberal $1.00 stop on AKNS and a $0.50 stop on HOKU due to the narrow range before the break-out.

Anonymous said...

no stop on HOKU?