Definition

The PnL Calculator is a modeling tool that allows users to estimate potential profit and loss outcomes by adjusting capital allocation, time period, asset selection, and leverage inputs.

Calculations may reference historical data and live performance metrics. Results are estimates only and do not guarantee returns.

Example In Context

A user inputs $1,000 with 2x leverage over a 6-month historical period to review how a strategy performed under similar conditions.

FAQs

Does the PnL Calculator guarantee profits?

No. It provides estimates based on historical data and selected inputs.

Is backtesting included?

Users can toggle backtesting on or off for most strategies.

Can results change?

Yes. Market conditions, risk management, equity allocation, volatility, and execution impact outcomes.

Related Terms