Compound Growth Calculator — Long-Term Trading Returns
Compound growth is the eighth wonder of the world — but only when applied consistently. This calculator shows realistic long-term outcomes from monthly returns, with the brutal honesty most affiliate calculators avoid.
Calculator
Result
Notes
- Renaissance Medallion Fund — generally cited as the best track record — averaged ~40% annualized over decades.
- Most retail traders lose money. Those who don't typically achieve 0–30% annualized over multi-year horizons.
- Compound calculators showing 1000%+ returns are misleading because they ignore variance, drawdown psychology, and tax.
How to use this calculator
The calculator updates as you type. Try different inputs to understand how each variable changes the outcome. The math is the same as a spreadsheet model — but pre-built so you don't have to remember the formula.
Try other calculators
How to interpret the result
The Compound Growth Calculator is a planning tool, not a prediction engine. Use the output to compare scenarios before trading: conservative inputs, realistic average results, and a worst-case case where several trades lose in a row. The number is most valuable when it changes behaviour, for example by reducing trade size, pausing after a drawdown, or choosing demo practice before real balance decisions.
Worked example
Start with the default values, then change one field at a time. If the result becomes unrealistic after a small change, that tells you the plan is fragile. For short-term products, small errors in win rate, payout, average loss, or trade frequency can change the outcome dramatically. Keep a written record of the assumption behind each input.
Limits of the calculator
- It cannot verify the future market, payout, account condition, platform availability, or withdrawal outcome.
- It should not be used to justify higher risk after a losing streak.
- It works best together with a demo log, fixed risk cap, and a rule for stopping when results move outside the plan.
FAQ
Is 10% per month realistic?
10%/mo = ~213% annualized, which is borderline unrealistic for any sustainable retail strategy. 2–5%/mo is realistic for skilled traders.
Does this account for taxes?
No. Add 15–35% tax drag depending on your jurisdiction. Reduce the monthly return accordingly.
Why does the gain grow exponentially after year 1?
Compound interest's nature: each month's return is on a larger base. This is why time horizon matters more than starting capital.
Open a free demo to apply this
Test sizing rules on a $50,000 demo account before risking real funds.