How this calculator works
The sales load reduces money invested at time zero. Each year applies the gross return, then deducts the operating and additional turnover percentages from that grown balance. A redemption fee applies to the entire remaining balance at exit. Combined ongoing charges must be below 100%. These timing conventions approximate costs; actual fees may accrue daily or use a different redemption base. No recurring deposits are included. Reverse modes recover entry, ongoing or exit fees, initial investment or gross return. Time-to-target returns the first complete model year reaching the target.
Formula
Invested = P(1-load). Net annual factor = (1+r)(1-operating-turnover). Before exit = invested × factor^t. Final = before exit × (1-redemption). Cash fees and the final wealth gap are reported separately.
Worked example
$1,000 with a 10% sales load leaves $900 invested. At a 10% gross return and a 1% ongoing charge for one year, the balance is $980.10 before exit. A 2% redemption fee leaves $960.498; modelled cash fees total $129.502.
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Frequently asked questions
Can I enter a published net fund return?
Only if the ongoing expense inputs are zero or excluded from that published figure. Otherwise expenses would be deducted twice.
Are turnover costs included in the expense ratio?
Trading costs may be separate. Enter only an additional cost assumption to avoid double counting a fee already included elsewhere.
Is redemption fee the same as a back-end sales load?
Not necessarily. This tool charges the full final balance. Some loads use the lesser of initial and current value or decline over time.