RM RiskMeter
中文

Plain guide

Why a loss hurts more than it first looks.

If your account loses 25%, it needs to rise 33.3% to get back. This page explains that simple idea without heavy finance jargon.

Try the loss testSee recovery examples

Three simple ideas

Losing 20% is not fixed by gaining 20%

After a loss, your money starts from a smaller base, so it needs a bigger rise to recover.

Time matters

A loss may look okay on paper, but waiting years to recover can feel very different.

Panic is the real danger

Many people make bad decisions after the loss already feels uncomfortable.

A simple loss scale

0-10%: small pullback

Common in investing, but still useful for checking your feelings.

11-15%: uncomfortable

You may start watching the account more often.

16-25%: stressful

Many beginners start wanting to change everything here.

26-35%: serious loss

You need a clear plan and enough cash for daily life.

36%+: danger zone

At this point the question is often survival, not return.

Next checks

Start with the workflow, then branch out.

Try the loss testSee recovery examplesExplain the terms
  1. 1 Loss check Check how much loss may feel too much.
  2. 2 Break-even check See how much it needs to rise to recover.
  3. 3 More-loss room Check how much buffer is left.
  4. 4 Adjustment check Decide whether to buy, sell, or wait.
  5. 5 Market mood Notice fear, calm, or excitement.

Was this useful?

Feedback is stored only in this browser.