Ah, finally something Im good at!
If you need in-depth help with your Assassin character, it's build, or gameplay tips, don't hesitate to PM me, stealth characters are a specialty of mine in Oblivion.
This goes to anyone needing help with stealth characters, not just the OP.
Anyway, now that the public service announcement is out of the way, the question at hand. Roleplay actually has little to do with stats. as you can simply limit the amount you carry yourself, and increase the difficulty slider, but technically no, Assassins wouldn't put points into their Strength or Endurance. If your using blade as the primary, then I might get strength up to about 60 or so, but leave it at that. Not really much reason to build Endurance up though as Assassins are meant for the one-shot kills, and rarely get into direct combat.
But here's the thing. Oblivion doesn't have a level cap. (Well it does, but it's ridiculously high (255) and you can't get there without using the console). Anyway, unless you never sleep, you
have to level, and
when you level, you
have to add points to your attributes. Those points have to go somewhere, you'll end up getting them all fairly high, though maxing out the important ones.
(About the "going backwards and shooting with the bow thing". Main focus of an Assassin is to stay hidden throughout without creating a ruckus. Use bow and arrows from a distance, crouch for a damage bonus, and poison the arrow. I assure you, if done right, the enemy with fall before he's close enough to strike with melee.) Daggers would be used for close assassinations on say, someone who is sleeping, or something similar.