peak-to-valley drawdown


A statistical performance evaluation method for any fund, trading program, or investment strategy. All investments and asset holdings go through relative valuation highs and lows over different time periods. When evaluating an asset holding, the last peak valuation is marked. Then, the last valuation low immediately after that high is noted. These peaks and valleys are used to gauge how long it will take for the asset to return to its recent high.

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The peak-to-valley drawdown gave us a better perspective on things and we were happy to have it working for us.

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You should try to do a thorough peak-to-valley drawdown to figure out the best way for you to proceed in the future.

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The peak-to-valley drawdown was used to help us understand the performance of the security by representing the information in a graph.

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