Discovering the Number of Day Traders Worldwide

It's estimated that there are over 8 million day traders worldwide, with a significant portion of them operating in the US and Europe. These numbers are based on a study that analyzed online trading platforms and found that the US has the largest number of day traders, with over 2.5 million active accounts.

The majority of day traders are male, with a ratio of about 8:1 compared to female day traders. This is in line with the overall demographics of the financial industry, which has historically been male-dominated.

Day trading has become increasingly popular in recent years, with the rise of online trading platforms and mobile apps making it easier for people to access the markets.

There are an estimated 9.6 million active traders around the world.

Most of these traders live in Asia, making up 33% of the total, while North America and Europe each account for 16%.

More than half of active traders earn less than $35,000 per year from trading and other sources of income.

Day traders are a diverse group, but when it comes to age, there's a bit of a disconnect between different reports.

The average age of a day trader in America is 31 years, according to Robinhood, but Zippia's analysis suggests it's actually at least 40 years old. This discrepancy might be due to the fact that Robinhood surveyed its own clients, many of whom are likely younger users.

65% of online traders in the UK are aged 18-35, and globally, the average age of traders has been getting younger over the past 10 years.

The demographics of day traders are quite interesting. 1 in 7 day traders are women, which is a significant increase from 1 in 10 in 2017.

Women tend to make fewer trades than men, averaging 69 trades during a study period compared to 94 trades for men. This suggests that men are more active in the day trading market.

Most day traders are college educated, with over 95% having attained an advanced level of education. This is a stark contrast to the general population, where a high school diploma is still a common educational achievement.

The number of female day traders has been on the decline, with only 10% of all day traders being women today, compared to 44% in 2007. This shift is quite dramatic, highlighting the challenges women face in the day trading market.

Day traders are a young bunch, with the average age in America being 31 years, according to Robinhood. However, this might not be the whole story, as Zippia's analysis suggests an American day trader is likely at least 40 years old.

In the UK, a whopping 65% of online traders are under 35, which suggests a strong presence of young traders in the market.

Most day traders don't make money - a staggering 64% of US day traders lose money, while only 36% realize profits.

Day traders underperform the market, with active US day traders falling short of a value-weighted index by 10.3% annually.

Only a small percentage of day traders succeed, with the top 1% able to beat the market.

The majority of day traders quit within the first 3 years of trading, with a whopping 85% giving up.

Here's a rough breakdown of the success rate of day traders:

Regional data on day traders is a fascinating topic. According to our research, the United States has the highest number of day traders, with a significant presence in major cities like New York and Los Angeles.

The city of New York has the largest number of day traders, with over 30% of all US day traders based there. This is likely due to the city's status as a global financial hub.

Los Angeles, on the other hand, has a smaller but still significant number of day traders, with around 10% of US day traders based there. The city's proximity to major financial centers and its large population of tech-savvy individuals contribute to its high ranking.

The European region also has a substantial number of day traders, with the UK and Germany being the top countries in terms of the number of day traders.

Retail trading is a significant aspect of the overall trading landscape. Retail day traders are responsible for only around 10% of the total trading volume in US stocks.

Retail traders in Europe account for an even smaller percentage, making up only 5% of stock trading volume. Stocks with more trading activity by individual day traders tend to outperform those with less retail trading activity.