← Glossary
Total return
Total return is the simplest performance figure — ending equity versus starting equity — and doesn't account for how bumpy the path between them was, which is what max drawdown and the Sharpe ratio each add in different ways.
TotalReturn = (EndingEquity − StartingEquity) / StartingEquity × 100See also
This explains what total return measures. It isn't investment advice — see the disclaimer.