The Calmar ratio is a risk-adjusted performance measure that is used to evaluate the performance of a trading system. It is calculated by dividing the average annual return of the system by the standard deviation of the returns.
A high Calmar ratio indicates that the system has a high degree of risk-adjusted performance. A low Calmar ratio indicates that the system has a low degree of risk-adjusted performance.
The Calmar ratio is named after its creator, William F. Calmar.
What is Mar ratio? The term "Mar ratio" is used to describe the relationship between the current price of a commodity and the price of the same commodity at the time of delivery. The Mar ratio is used to help traders determine whether a commodity is currently under- or over-priced.
How do you calculate drawdown ratio?
There is no definitive answer to this question as the calculation of drawdown ratio will vary depending on the individual's trading strategy and objectives. However, a drawdown ratio can be generally defined as the percentage of an account's value that has been lost during a period of time. For example, if an account loses 10% of its value over a two-week period, the account's drawdown ratio would be 10%.
What is mar trade?
Mar trade is a type of trade that involves the purchase and sale of a security or other asset in order to gain a profit from the difference in the prices of the two assets. This type of trade is typically done by traders who specialize in the purchase and sale of securities or other assets, and who have a good understanding of the market conditions and trends. What is a bad Sortino ratio? A bad Sortino ratio is a ratio that is below the desired level. The desired level is typically the minimum acceptable level set by the investor.
Is lower Sortino ratio good?
Yes, lower Sortino ratio is good.
The Sortino ratio is a risk-adjusted performance measure, which is a variation of the Sharpe ratio. The Sortino ratio penalizes only those returns that fall below a certain threshold, known as the "Minimum Acceptable Return" (MAR).
This makes the Sortino ratio a more accurate risk-adjusted performance measure than the Sharpe ratio, which penalizes all negative returns equally.
The lower the Sortino ratio, the better the risk-adjusted performance of the investment.