Episode Details

Focus on generating risk-adjusted returns

Published 5 years, 10 months ago

There are 2 traders. One has 15% returns and trader #2 generated 25%.

Who did better?

You can't just say that trader #2 has done better in this regard.

We don't know what type of risk #2 had to take on to get those returns.

We have to focus on the getting risk-adjusted returns.