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What it takes to recoup capital after losses

by Andrew Newman
in Investing
23 Feb 2009  | 0 Comments

 

The graph below shows the % gain required to recoup capital after losses.

For example, if your investment has lost 80%, your investment will require a 400% gain to recoup the capital loss.

Lesson: Don't put all your eggs in one basket but have a diversified portfolio to minimise the risk of capital loss.

What it takes to recoup capital after losses

 

Important Information

The above information provides an overview or summary only and it shouldn’t be considered a comprehensive statement on any matter or relied upon as such. The above information doesn’t take into account your personal objectives, financial situation or needs. It’s important for you to consider these matters before making any financial decision and I recommend you seek help from a financial adviser.

 
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