Glossary

Drawdown

Drawdown is the peak-to-trough decline in account equity, the practical measure of how much pain a strategy asks for.

In short

Drawdown measures the fall from an equity high-water mark to the subsequent low, expressed as a percentage. Maximum drawdown and time-to-recovery describe survivability better than headline returns do.

Why drawdown, not return, decides outcomes

Most followers do not lose money because a strategy had no edge; they lose it by abandoning the strategy at the bottom of a drawdown they had not planned for.

A diversified basket typically reduces single-leader drawdown pass-through, and does not prevent a correlated portfolio drawdown.

Past performance is not indicative of future results. Perpetual futures are leveraged instruments and carry a substantial risk of loss, including the loss of your entire position.

Questions

Frequently asked

What drawdown should I expect?

Unknowable in advance. Historical drawdowns are a floor for imagination, not a cap.

Does isolation limit drawdown?

It limits contagion between leaders, not portfolio-wide drawdown.

Diversified copy trading. On autopilot.

Score-weighted allocation across up to 10 elite Hyperliquid traders, each isolated in its own sub-account. Your funds never leave your account.

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