The Future Value of Money Lost chart shows what your lost capital would be worth in the future at a certain rate of return defined by the user. We chart the future value of your qualified and ordinary income losses. Investors need to understand that you are not losing the present value of your lost money. You are losing the future value of the lost money. Understanding the future value of your present-day losses helps you understand how important it is to manage your DistributionRisk.
Users can adjust the time frame and the desired annual rate of return directly from the chart. Historically equity returns average approximately 8% per year.
We believe this graph is important. Even small amounts of money lost today grow substantially over time. This is why leveraging DistributionRisk Analytics on every trade you make is important.