There are eight Ratios that we use to assess a service's performance and one Index:
Sharpe Ratio
A risk-adjusted ratio that compares a service's excess return to a specific measure of risk (the standard deviation).
Sortino Ratio
Also risk-adjusted, it measures reward verses the downside deviation rather than the full standard deviation as used in the Sharpe Ratio.
Sterling Ratio
Also risk-adjusted, it differs from the above ratios in that it uses the Maximum Drawdown as its measure of risk.
Strike Rate Ratio
Measures the relationship between the Av Current Strike Rate and the Required Strike Rate.
Drawdown Ratio
Measures the relationship between the average percentage drawdown and the largest percentage drawdown.
Profit Factor
Measures gains verses losses by dividing the profits from winning trades by the losses from losing trades.
Deviation Ratio
Measures the relationship between the Av Gain/Winning Trade and the Monthly Downside Deviation.
Largest Win/Average Win Ratio
Measures the relationship between the largest winning trade and the average gain per winning trade.
Top Trader Index
is an overall measure of a service's performance. It looks at 26 different parameters and assesses each out of a score of 20. The highest score, therefore, is 520.
