The Elder Scrolls IV: Oblivion Guide - The Basics
With each level your character gains you can allocate points to three attributes. Each attribute has an effect on your character; raising an attribute will enhance that effect. Below is a listing of each attribute and how they affect your character.
Strength: How much you can carry, your Fatigue, and damage dealt with melee weapons. Governs Blunt, Blade, and Hand to Hand.
Intelligence: Total Magicka. Governs Alchemy, Conjuration, and Mysticism.
Willpower: Magicka regeneration rate and amount of Fatigue. Governs Destruction, Alteration, and Restoration.
Agility: Reduces the likelihood of losing balance when struck by an enemy. Affects how much damage is dealt with Ranged weapons. Governs Security, Sneak, and Marksman.
Speed: Determines movement speed. Governs Athletics, Light Armor, and Acrobatics.
Endurance: Affects total Fatigue, Health, and how much total Health increases with each level gained (one-tenth of Endurance attribute). Governs Block, Armorer and Heavy Armor.
Personality: Affects NPCs default disposition. Governs Speechcraft, Mercantile, and Illusion.
Luck: Has an effect on everything you do. For example, the probability of receiving rare items from random drops increases with the Luck attribute.