Financial Tools

Recovery Calculator

How much gain do you need to recover from a loss?
See the importance of stop-loss in visual terms.

KRW
%
Account Status100% remaining

Recovery Gain Required

0%

Enter your loss rate to see results.

📉 Loss Recovery Reference

-10%+11.1%
-30%+42.9%
-50%+100%
-70%+233%

About the Recovery Calculator

This calculator shows the gain needed to recover from a loss. The formula is: Required Gain = 1 / (1 − Loss%) − 1.

For example, a 30% loss requires about 42.9% gain to break even — roughly 1.4× the loss.

Key Features

  • Recovery gain calculation: Exact gain needed based on loss rate
  • Loss/balance amounts: Shows how much you've lost vs. remaining
  • Recovery difficulty: Shows how many times your loss you need to earn
  • Visual account status: Loss rate shown as a bar chart

How to Use

  1. 1.Enter your investment principal (optional, default: ₩10M).
  2. 2.Enter your current loss rate (e.g., 30 for −30%).
  3. 3.Use preset buttons for quick entry.
  4. 4.View required gain, amount lost, remaining, and difficulty.

Why Stop-Loss Matters

  • The bigger the loss, the harder recovery becomes: −10% needs +11.1%; −50% needs +100%.
  • Cut losses early: Even a small loss, cut quickly, prevents much larger ones.
  • Set stop-loss in advance: Decide your exit level before emotions take over.
  • At 50%+ loss: Recovery is extremely difficult — a bold decision or very long horizon is needed.

The Math of Stop-Loss: Why You Must Cut Losses Early

Loss Rate vs Recovery Return Rate

Loss (%)Recovery Return (%)Difficulty
-10%+11.1%Easy
-20%+25%Manageable
-30%+42.9%Hard
-50% (halved)+100% (2x)Very Hard
-90%+900% (10x)Miracle Needed

As shown in the table, once losses exceed 50%, you need more than a 2x return just to break even. This is the mathematical reason experts emphasize strict stop-loss discipline.

Warren Buffett's Investment Principles

Rule No.1: Never lose money.

Rule No.2: Never forget Rule No.1.

The reason it's so important not to lose money is that recovering from losses is far harder and more painful than preventing them. Use this calculator to face the reality of your account and build a disciplined response strategy.

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