Account balance growth can include deposits, not just profit
A higher ending balance does not prove a positive trading return.
Separate external cash from investment results
A higher ending balance does not prove a positive trading return. Deposits and withdrawals change balances independently of market outcomes. To reconcile a simple period, begin with opening balance, add external deposits, subtract withdrawals, then add net result. Use the actual timing for any more detailed return calculation.
Opening 1,000 plus a 500 deposit minus a 100 withdrawal plus 50 net result equals 1,450. The balance increase is 450, but only 50 is the residual result in this example.
Open full-size diagram ↗Reconcile an invented account
Suppose the opening balance is 1,000, a deposit adds 500, a withdrawal removes 100, and the ending balance is 1,450. The residual net result is 1,450 − 1,000 − 500 + 100 = 50. Calling the 450-unit balance increase a 45% trading gain would confuse external funding with performance. The residual calculation alone also does not determine a timing-aware return percentage.
Worked example: Deposit: 500; Withdrawal: -100; Residual result: 50. Invented values; units follow the row labels and article.
Open full-size diagram ↗Explain why timing matters
A deposit at the beginning of a period is exposed for a different length of time from one arriving near the end. Dividing the residual result by the opening balance may be misleading when substantial cash flows occur within the period. Preserve dated flows instead of forcing them into trade-profit rows.
Calculation checklist: Balance increase: 450; Net external funding: 400; Residual net result: 50. Preserve these definitions when reproducing the example.
Open full-size diagram ↗Keep separate ledgers
Store deposits, withdrawals, transfers, fees and trading results under distinct record types. Reconcile the cash identity before discussing performance. SanForex’s journal is for manually entered closed results; entering a deposit as a winning trade would distort its counts and averages. This worksheet is not a substitute for a broker statement or a formal return calculation.
Sources and conventions
Examples are hypothetical. Worked examples state their formulas and assumptions in the article; our methodology explains the related calculators. Broker contract specifications determine actual lot, margin and execution conditions. These sources document definitions and data; a source link does not imply endorsement of SanForex or a trading service.
These materials are prepared with AI assistance and checked against worked examples and deterministic calculation tests where applicable. They are not an expert suitability assessment or investment advice.
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