How do I calculate compound growth?

Multiply the balance by (1 + the return per period) once for each period. Example: 1,000 × 1.05¹² = 1,795.86.

Why is +5% a month over a year not +60%?

Each following month's percentage is taken on the already grown balance, not on the starting one. That is why the total is +79.59%, not 12 × 5%.

How does withdrawing profit affect growth?

The money you withdraw stops working: the next period is calculated on a smaller balance. Withdrawals apply only to winning periods — a loss withdraws nothing.

Can I earn the same return every period?

There is no guarantee: returns fluctuate and there are losing periods. The calculator is arithmetic on stated assumptions, not a forecast. Compounding works against you just the same — see the losses block.

Why is the number of periods capped at 120?

The table is shown in full, with no “show more”, so its length is limited. 120 is ten years of months.

Tools

Compound growth calculator for traders

Starting balance, return per period and the number of periods in — the final balance and a table for every period out. Next to it, the same periods with a loss. This is arithmetic, not a forecast and not a promise of results.

Updated September 24, 2026

Starting balance

Return per month, %

Can be negative. The value in the field is an arithmetic example, not an expected result.

Number of months

A whole number, at most 120.

Profit withdrawn per period, %

The share of a period's profit you take out of the account. Empty — no withdrawals.

Final balance1,795.86

Total returnincluding withdrawals+79.59%

The same periods in the redthe same percent with a minus sign, drawdown −45.96%540.36

As many gains, then as many lossesgains and losses of equal size do not net to zero, change −2.96%970.41

Balance for every period

Month	Start	Result	End
1	1,000	+50	1,050
2	1,050	+52.5	1,102.5
3	1,102.5	+55.13	1,157.63
4	1,157.63	+57.88	1,215.51
5	1,215.51	+60.78	1,276.28
6	1,276.28	+63.81	1,340.1
7	1,340.1	+67	1,407.1
8	1,407.1	+70.36	1,477.46
9	1,477.46	+73.87	1,551.33
10	1,551.33	+77.57	1,628.89
11	1,628.89	+81.44	1,710.34
12	1,710.34	+85.52	1,795.86

The compound growth formula

Balance after n periods = start × (1 + r)ⁿ, where r is the return per period as a fraction. Each period the percentage is taken on the new balance, so growth accelerates. If a share w of profit is withdrawn, the balance in a winning period is multiplied by (1 + r × (1 − w)).

Example

$1,000, +5% a month, 12 months, no withdrawals: 1,000 × 1.05¹² = $1,795.86, a return of +79.59%. Simply adding 12 × 5% would give 60% — the difference is what compounding does.

The same periods in the red

If the same 12 periods return −5%, the balance becomes 1,000 × 0.95¹² = $540.36, that is −45.96%. And 12 periods of +5% followed by 12 of −5% do not bring you back to zero: 1,000 × 0.9975¹² = $970.41. A gain and a loss of equal size do not cancel: the loss weighs more.

What this leaves out

A constant return does not exist in a market: winning and losing periods alternate, risk changes and drawdowns grow. Do not take a number from the table as a target or a promise. It is more useful to look at durability — risk per trade, the daily limit and drawdown, which the neighboring calculators cover.

Frequently asked questions

How do I calculate compound growth?: Multiply the balance by (1 + the return per period) once for each period. Example: 1,000 × 1.05¹² = 1,795.86.
Why is +5% a month over a year not +60%?: Each following month's percentage is taken on the already grown balance, not on the starting one. That is why the total is +79.59%, not 12 × 5%.
How does withdrawing profit affect growth?: The money you withdraw stops working: the next period is calculated on a smaller balance. Withdrawals apply only to winning periods — a loss withdraws nothing.
Can I earn the same return every period?: There is no guarantee: returns fluctuate and there are losing periods. The calculator is arithmetic on stated assumptions, not a forecast. Compounding works against you just the same — see the losses block.
Why is the number of periods capped at 120?: The table is shown in full, with no “show more”, so its length is limited. 120 is ten years of months.

The real equity curve, in the journal

The Trading OS journal draws the equity curve from your closed trades — instead of a smooth line of assumptions you see how the account really behaves.

No sign-up: the journal runs in your browser. An account keeps your trades on the server.

Open the journal

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