Formula
| Item | Expression |
|---|---|
| Assets under compounding (after n months) | Repeat n times: previous month's assets × (1 + monthly return) + monthly cashback |
| Assets under simple interest | Initial capital × (1 + monthly return × n) + monthly cashback × n |
The monthly return is assumed to be constant each month. Actual results vary from month to month.
What the compound calculator shows
Even at the same monthly return, your assets several years later differ greatly depending on whether you reinvest your profits. The tool shows compound and simple interest side by side so you can see the difference.
Adding monthly cashback also shows how much the return of trading costs builds up over the long term.
Realistic ways to use it
The higher you set the monthly return, the bigger the result looks, but there are also months with losing streaks. Try both a conservative monthly return and a case that includes negative months.
- Use your own past results or a conservative assumption for the monthly return
- Look at a period of 12 to 36 months, matching your funding plan
- Treat the result not as a target but as a check of "what happens if the assumption holds"
Points to note
This tool is a desk calculation and does not guarantee future profits. The more you raise leverage to chase a monthly return, the greater the risk of a stop-out.