Compound interest formula
Each month: balance = balance × (1 + monthly return) + deposit. With $1,000 at 3% a month and no deposits, after 24 months you would have about $2,033; after 60 months, about $5,892.
The formula assumes the same return every month. Real trading has losing months, and a single large drawdown can erase many months of compounding, which is why risk control matters more than the target return.
Small capital vs funded capital
With a small personal account, compounding is slow: 3% on $1,000 is $30 a month. Funded traders take a different route: they trade a larger simulated account and receive a share of the profit, without risking their own savings beyond the challenge fee. At Axora Funded accounts go up to $1,000,000 with up to 90% of the profit.