Finance Tools

Averaging Down Calculator

Enter your current position (quantity and average price) and the planned additional purchase (quantity and price) to see the new blended average price, total units, and total capital committed. Useful when adding to a losing position.

FINANCE workspaceRisk: safeClient-side calculationNo data stored

Calculator

Current Position
Additional Purchase

Disclaimer: Results are for reference purposes only and do not constitute investment, financial, or tax advice. Always consult a qualified professional before making financial decisions.

How to use

  1. Calculate new average price after buying more shares when a stock drops 20%.
  2. Determine break-even price after averaging down on a crypto position.

FAQ

What is averaging down?

Averaging down means buying more units of an asset at a lower price than your current average, which reduces your overall average purchase price (cost basis).

Does averaging down guarantee a profit?

No. Averaging down reduces your break-even price but increases total capital at risk. If the asset continues to decline, your losses grow in absolute terms.

Is this a financial recommendation?

No. This is a reference calculator only. Results are for informational purposes and do not constitute investment or financial advice.

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