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How do you calculate the 7% Max Drawdown?

Updated this week

The maximum drawdown level is the maximum your account can drawdown before you would hard breach your account.

On our 1-stage evaluation, it is a 7% static drawdown.

Example 1)

When you start a $100,000 Evaluation, you can draw down to $93,000 before you would breach the account.

If the account rises to $105,000, you can still draw down to $93,000.

Example 2)

On a $50,000 Evaluation, the account can drop to $46,500 before it would be breached.

If the account goes from $50,000 to $48,000, you would still have $1,500 of draw-down room before the account would be breached.

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