Drawdown & Recovery Calculator
Calculate drawdown and the recovery percentage needed to regain the starting account value.
INPUTS
RESULTS
Method and assumptions
Monetary loss = starting value − ending value. Drawdown % = loss / starting value × 100. Recovery % = drawdown % / (100 − drawdown %) × 100. The break-even target is the original starting value.
Common mistakes and edge cases
Starting capital must be positive, and the ending value must be between zero and the starting value. At 100% drawdown, the remaining zero cannot grow back through any finite percentage return without new funding. This models one peak-to-trough loss, not maximum drawdown over a time series; deposits and withdrawals distort comparisons.
How to use
- Enter the starting account value.
- Choose an ending value or a drawdown percentage.
- Read the loss, recovery requirement and original break-even target.
Example
A fall from 10,000 to 5,000 loses 5,000: drawdown 50%, required recovery 100%, break-even target 10,000. A 20% loss requires a 25% recovery.
Frequently asked questions
- Why does a 50% loss need a 100% gain?
- The gain is calculated on the smaller remaining balance. Doubling 5,000 is required to return to 10,000.
- Can a 100% drawdown recover by growth?
- No finite percentage gain on zero restores the original capital; additional funding is required.
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This tool is provided for general informational and workflow purposes only. It does not constitute financial, investment, tax, or professional advice. All calculations run in your browser; no input data is transmitted or stored.