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    • Home
    • Request Info
    • The Numbers
    • Risk Adjusted Ratios
    • Make an Appointment
    • Modern Portfolio Theory
    • Learn How to use Algos
    • Privacy Policy
  • Home
  • Request Info
  • The Numbers
  • Risk Adjusted Ratios
  • Make an Appointment
  • Modern Portfolio Theory
  • Learn How to use Algos
  • Privacy Policy

Risk Adjusted Return Ratios

Sharpe Ratio

Sterling Ratio

Sterling Ratio

 The Sharpe ratio uses standard deviation to measure a fund's risk-adjusted returns. The higher a fund's Sharpe ratio, the better a fund's returns have been relative to the risk it has taken on  

Sterling Ratio

Sterling Ratio

Sterling Ratio

 The Sterling ratio formula uses the average compounded return and average risk presented in the form of maximum drawdown. Drawdown is calculated as the maximum potential loss in the given year. The resulting ratio shows the amount of average annual compounded return delivered per unit of average maximum drawdown risk. The higher quantity of return per unit of risk, the more favorable the result as the investor received each unit of return while experiencing a smoother ride. 

Calmer Ratio

Sterling Ratio

Calmer Ratio

  The Calmar ratio is a comparison of the average annual compounded rate of return and the maximum drawdown risk of commodity trading advisors and hedge funds. The lower the Calmar ratio, the worse the investment performed on a risk-adjusted basis over the specified time period; the higher the Calmar ratio, the better it performed. 

  1. Copyright © 2018 SuccessfulTradingSystems.com - All Rights Reserved.   Copyright © 2018 SuccessfulTradingSystems.com - All Rights Reserved.  THIS BRIEF STATEMENT CANNOT, OF COURSE, DISCLOSE ALL THE RISKS AND OTHER ASPECTS OF THE COMMODITY MARKETS HYPOTHETICAL RESULTS:These results are based on simulated or hypothetical performance results that have certain inherent limitations. Unlike the results shown in an actual performance record, these results do not represent actual trading. Also, because these trades have not actually been executed, these results may have under-or over-compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated or hypothetical trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to these being shown. Futures trading carries risk and is not suitable for all investors.
     


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