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Calmar Ratio
Glossary · Core Metrics
Definition
Annualized return divided by the size of the worst peak-to-trough decline. It rewards strategies that grow without deep crashes.
A 10% CAGR with a -20% max drawdown gives a Calmar of 0.5.
Terms are defined in the context of how ArthaPilot uses them. For authoritative definitions, consult the SEC, IRS, or a qualified financial advisor.