Maximum Balance Drawdown
Maximum Balance Drawdown
27 Nov 2024, 04:17
Hello,
I want to know if the issue have been resolve regarding the maximum balance drawdown. Before, I've read here in the forum that the max balance drawdown percentage is based on the initial deposit/initial amount when the strategy was started. Someone in the admin have said that they are planning of resolving this issue so that the computation will based on the current balance instead of the initial balance.
For example, if my initial deposit was 1,000 . Made 200 during the month, then deposited additional 5000 but suddenly loss a trade afterwards resulting in a total account balance of 4,000, (losing 2,200) . Here, if based on the initial balance, the max drawdown would be 220% ( 2,200 / 1000). If base on current balance, a fair way to compute the percentage would be ( 2,200 / 6200 ) which is 35.5% .
PanagiotisCharalampous
27 Nov 2024, 06:45
Hi there,
Can you please share a link to the thread you are referring to?
Best regards,
Panagiotis
@PanagiotisCharalampous