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The asymmetry of loss

Drawdown Recovery

30%
−1%−95%
Asymmetry curve — loss vs recovery required
0%50%100%150%200%300%10%25%50%75%90%+42.9%
To break even+42.9%1.43× the loss magnitude0%−100%
30%
Portfolio loss
+42.9%
Recovery needed
Drawdown vs recovery — quick reference
DrawdownRecovery neededMultiplierPain bar
10%+11.11%1.11×
20%+25%1.25×
30%+42.86%1.43×
40%+66.67%1.67×
50%+100%2×
60%+150%2.5×
75%+300%4×

Illustrative math only. Actual recovery depends on your strategy, the nature of the drawdown, and market conditions. Not investment advice.