<p>The Wealth Added Index (WAI) is a performance metric used to evaluate the effectiveness of a trading strategy. It measures the percentage growth of an investment portfolio, taking into account the impact of fees, slippage, and other costs.</p>

<h2>How It Works</h2>
<p>The WAI calculation involves several steps:</p>
<ul>
  <li>Determine the initial investment amount (I).</li>
  <li>Calculate the final portfolio value (F) after a specific period or a series of trades.</li>
  <li>Calculate the total fees (TF) paid during the period.</li>
  <li>Calculate the total slippage (TS) incurred during the period.</li>
  <li>Calculate the wealth added (WA) using the formula: WA = F - I - TF - TS.</li>
  <li>Calculate the WAI using the formula: WAI = (WA / I) * 100.</li>
</ul>
<p><strong>Note:</strong> WAI can be calculated for a single trade or a series of trades over a specific period.</p>

<h2>Why It Matters for Traders</h2>
<p>The WAI provides traders with a clear understanding of their strategy's performance, net of all costs. Here's why it matters:</p>
<ul>
  <li><strong>Cost Awareness:</strong> WAI helps traders understand the impact of fees and slippage on their overall performance.</li>
  <li><strong>Strategy Evaluation:</strong> It allows traders to evaluate the effectiveness of their strategies in real market conditions.</li>
  <li><strong>Risk-Reward Assessment:</strong> WAI helps traders assess the risk-reward ratio of their strategies, as it considers the costs involved.</li>
</ul>

<h2>Example</h2>
<p>Let's assume a trader starts with an initial investment of $10,000. After a month of trading on STB Provider's MetaTrader 5 platform, the portfolio value is $11,500. The trader paid $200 in fees and experienced $150 in slippage.</p>
<p>WA = $11,500 - $10,000 - $200 - $150 = $1,150</p>
<p>WAI = ($1,150 / $10,000) * 100 = 11.5%</p>

<h2>Key Takeaways</h2>
<ul>
  <li>The Wealth Added Index (WAI) is a performance metric that measures the percentage growth of an investment portfolio, net of all costs.</li>
  <li>WAI helps traders understand the impact of fees and slippage on their overall performance.</li>
  <li>It allows traders to evaluate the effectiveness of their strategies and assess the risk-reward ratio.</li>
  <li>WAI can be calculated for a single trade or a series of trades over a specific period.</li>
</ul>