drawdown

American  

[draw-doun] / ˈdrɔˌdaʊn /

noun

1. a lowering of water surface level, as in a well.

   Drawdowns of up to 90 feet have been recorded in many municipal wells in the area.

2. a reduction or depletion.

   The president announced a drawdown and eventual departure of troops from the region.

   The unprecedented drawdown of natural resources poses enormous challenges worldwide.

3. Stock Exchange. a drop in the value of a stock from its peak to its lowest level over a certain period, usually expressed as a percentage of the peak value.

4. British. the withdrawal of part of an investment, such as a pension or retirement fund, for use as income.

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drawdown British  

/ ˈdrɔːˌdaʊn /

noun

1. a depletion or reduction, for example of supplies

2. a continuous decline in an investment or fund, usually expressed as a percentage between its highest and lowest levels

3. the intentional draining of a body of water such as a lake or reservoir, to a given depth

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drawdown Scientific  

/ drô′doun′ /

1. A lowering of the water level in a reservoir or other body of water, especially as the result of withdrawal.

2. The difference in elevation between the level of water in a well and the level of groundwater in the area in which the well is located.

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Etymology

Origin of drawdown

First recorded in 1780–90; draw + down ¹

Example Sentences

Copart, which operates auctions for damaged vehicles, has suffered a similar drawdown after making investors 70 times their money.

From The Wall Street Journal • Mar. 31, 2026

The below chart from a team at Deutsche Bank, shared with MarketWatch on Friday, shows that the index’s decline has already surpassed the 6.1% median drawdown that followed previous geopolitical conflicts.

From MarketWatch • Mar. 30, 2026

They became less popular with the emergence of drawdown pensions - which allows pensioners to withdraw as much money as they like at any one time while the rest remains invested in a pension.

From BBC • Mar. 24, 2026

Sure enough, the S&P 500 had a 5% peak-to-trough drawdown in two weeks and the market’s so-called fear gauge, the VIX, jumped Monday to its highest since last year’s “Liberation Day” scare.

From The Wall Street Journal • Mar. 11, 2026

By the end of 2011, the last American soldiers had left Iraq; a gradual drawdown of troops was under way in Afghanistan.

From "Becoming" by Michelle Obama