Drawdown recovery calculator

How much does a decline have to gain back?

Enter a percentage decline to see the gain required to return to the previous high, and how long that takes at a return you assume. Recoveries are always larger than the fall that caused them.

Written by
Suggested Investments Research Team
Content type
Calculator
Published
2026-09-13
Last reviewed
2026-09-13

Value remaining

70%

Of the previous high, before any recovery.

Gain needed to break even

42.9%

A gain always has to be larger than the decline that preceded it.

Years at the assumed return

5.3

Arithmetic on a smooth assumed return, not a forecast of any recovery.

How to read the result

  • A 50% decline needs a 100% gain to break even. That asymmetry is the entire reason risk is worth studying before returns.
  • The years figure assumes a smooth return. Real recoveries arrive in bursts and can pause for years.
  • Contributions made during a decline buy at lower prices, which is why a plan matters more than a reaction.

What this calculator cannot tell you

  • It says nothing about whether any particular investment recovers. Some never do.
  • Dividends, taxes and further declines are not modelled.
  • Arithmetic on your inputs, not a forecast of any market.

Terms used here

Sources and methodology

Standard future-value arithmetic. Every figure is hypothetical and depends entirely on the assumptions you enter.

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