Latour Trading: Profits in 2018 (476Million, 1400% Return!)
Latour Trading is one of the biggest high frequency trading firms on the Wall Street. It is a private company owned by Tower Research. From its SEC filings( audit report ), we analyze and estimate its trading profits. We estimate that in 2018, it generated an astonishing profits of $476 million dollars (estimated, see the analysis below), used a net capital of $34 Million , and thus the total return is 1400%. Balance Sheet and Leverage Ratio From its balance sheet at the end of 2018 December, the total assets are $1.48 billion with $63 Million equity. Thus, we estimate that the leverage ratio is approximately 23. Profits from Futures Trading Latour Trading made a profit of $345 million from its futures trading operations. Overall Profits According to the filings, Latour Trading LLC shares 17% of its overall profits with its parent company, Tower Research Capital LLC, and in 2018, Latour shares $81 million profit with Tower. Therefore, we estimate that L