Calmar ratio
Glossary · Core metrics
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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.
These definitions describe how ArthaPilot uses each term. For authoritative definitions, consult the SEC, IRS, or a qualified financial advisor.