Turn Two Trading Club



Turn Two Trading Club

Instructions for Calculating Individual Balances on Weekly Charts

(Microsoft Excel required)

TTTC utilizes Microsoft Excel to track club balances and individual capital accounts. This spreadsheet software provides excellent functional support for this purpose and is widely available, therefore making it practical for distributing and sharing of this information among the club membership. In order to benefit from this club feature, you must have a Microsoft Excel (Version 97 or newer) capability. If you do not have Excel, you may purchase it with either Microsoft Office (recommended) or you may purchase it individually at most software retailers. Another way to gain access is to utilize a public resource computer (Public Library. Internet café, Kinko’s, etc.) that has this program available.

For security, privacy, and practicality reasons, TTTC no longer provides charts with individual balances. However, a template is available that allows you to manipulate the data entry and create new charts which track your approximate balance throughout the monthly statement cycle. This balance information is a reliable way of tracking your own account and enables you to experience the power of charts. Charts emulate the “a picture is worth a thousand words” mantra and give the member visual confirmation of the performance of their account.

Excel is a spreadsheet software which utilizes “Cell” formats to create “work areas” for calculations and other accounting functions. These cells are used for functions such as; tracking balances, calculating daily returns based upon stocks traded each day and calculating averages of these functions. These cells allow data entry, reference to other cell info, or mathematical formulas to determine “one answer” solutions. Further, Excel has a “Chart Wizard” which plots charts (bar graphs are the usual TTTC method) based on data provided on a spreadsheet.

Enclosed are the instructions on how the TTTC Master Spreadsheet works and how to manipulate the data to create your own charts for tracking your individual account balance.

For more information, refer to the TTTC website: az3/turntwotc or call Dennis Little at

480-560-7043.

TTTC weekly charts – Excel based spreadsheet

Excel “Cells” are used for calculations. Many of the cells on the spreadsheet therefore have “formulas” or “reference other data” within the spreadsheet. It is therefore IMPERATIVE that you DO NOT alter cells not related to your own work! Once you strike a key while in a cell, any formula or reference data strings are overwritten. It is recommended that you save the original spreadsheet to another file while working with this data to prevent losing the original data. You can always begin again if you lose something!

TTTC “MASTER” spreadsheet:

The MASTER spreadsheet tracks the daily performance of the club. There are two main functional areas on this spreadsheet:

Net Return and Comp Return

Net Return – contains the Club Balance and calculates the “daily net return” for the club. These daily returns are added to the club balance and proportionately divided among the individual accounts. This “Net” return is tracked on a daily basis and does not account for compounding of return over the course of time. It is based solely on the beginning balance each day.

There are 12 columns of data in this section:

Date – the date of trading

Beg Bal - the beginning club balance on that trading day

End Bal - the ending club balance (after trading)

Net Rtn - the dollar value or the trading day

Rtn Pcnt - the percentage (based on Beg Bal) of return

for that day

Day Avg - a running average (MTD) of the daily

Rtn Pcnt (indicates daily average return)

Weekly - end of week “Net” totals of Rtn Pcnt (current

Week only)

MTD - end of week (or month) “Net” totals of Rtn

Pcnt (accumulative throughout month)

Pace - projected total “Net” return based on the

Current “Day Avg” – updated weekly

Month - Separate section for tracking monthly

Performance and YTD averages

Mon Avg - “Net” return for each month listed

YTD Avg - running average of the Mon Avg

Comp Return – contains the individual balance for the TT Admin account which was created to cover club administrative expenses. This account represents a “true” measure of how an individual account performs based on the compounding of daily returns throughout the month. This is due to the account being “static” meaning it starts out each month with the same balance and accumulates a return without any transactions (which alter the total return). The Beg Bal is reflective of the previous day’s activity and therefore larger than the previous day, this leads to growing returns as the account grows larger and larger. The data columns in this section are the same as the “Net” section, except they reflect the compounded balances. Therefore, the “Weekly”, “MTD”, and “Pace” columns function differently as they measure the compounding of the returns. Any member may manipulate the data in this section to calculate their own individual account balance. This is done by entering their own balances within the cells indicated in the below instructions.

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You will only need to alter the “Beg” Row of the “End Bal” column (Cell C29) You will enter your beginning balance for the month here (based upon your statement). If you do not have any transactions the rest of the month (deposits, transfers, withdrawals) you do not have to do anything else. Just enter this same number in the same cell each week when the new charts come out and you will have your balances calculated. This balance will show up on the IND BAL chart sheet.

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If you have ANY transactions, it gets a little more complicated:

Remember, the cells have formulas entered that calculate data or reference other data. If you strike a key while in the wrong cell, you will overwrite it, so BE CAREFUL!!!

For any transactions, you will need to account for them on your Beg Bal on the day they are effective (Routinely Monday’s). The Beg Bal column references the End Bal from the previous day (a reference data) therefore, when you manually enter this change, that reference will be lost (important to remember if you recycle the spreadsheet for next month or any other purpose) To restore this reference, just “copy/paste” the cell immediately above or below (same column).

For Transaction tracking:

Enter the adjusted balance in the Beg Bal column (Cells B30-B51) on the day it is effective i.e. if you made a deposit after the monthly meeting on 5/13 (Monday) it was effective on 5/20 (wired on 5/17). Therefore you would add the amount of the deposit to your Beg Bal for 5/20 (take the End Bal for 5/17 and add your deposit). Manually enter this amount and the calculations for the remainder of the month will be automatically calculated. If you choose to use the new charts (easiest) you need to make the same changes each week where needed. It is recommended to keep track of your transactions separately so you know where to alter the data.

This is actually pretty easy once you have done it a few times. The hard part is remembering to make the SAME changes each week on a new chart and to remember that manual entries overwrite the previous reference (B column to C column). I recommend that you open the charts and save them somewhere to practice until you are comfortable with doing this function. If you lose your data, you can start over when the new charts come out each week.

I hope this is not overwhelming for you, if you have any questions, email or call.

Happy Charting!

Dennis Little

Turn Two Trading Club

480-560-7043

az3/turntwotc

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