What this unit covers
Learn a repeatable portfolio review routine: check return, drawdown, correlation and risk-adjusted performance together, on a fixed schedule.
By the end you will be able to
- Explain why a review means reading return, drawdown, correlation, and risk-adjusted performance together.
- Distinguish a fixed review schedule from checking triggered by market fear or excitement.
- Apply the four-part checklist to a portfolio and set a personal review date.
How it starts: The Review That Never Happens
- Your portfolio has sat untouched for eleven months.
- A holding drops eight percent in two days, and you finally open the app.
- Would you have looked if nothing had fallen?
Words you will meet
- Portfolio review
- Reading return, drawdown, correlation and risk-adjusted performance together on a fixed date.
- Drawdown
- How far a portfolio's value dips from a peak before it recovers.
- Correlation
- How closely two holdings move up and down together.
- Risk-adjusted performance
- Whether a return was worth the size of the swings taken to earn it.
- Return
- The gain or loss on a portfolio over a period, usually shown as a percentage.
In this module: Portfolio Analytics
- Return and Drawdown
- Correlation and Concentration
- Risk-Adjusted Performance
- Portfolio Review (this unit)
Sign in to unlock Level 6.
Sign in