Learn the language
The analytics glossary.
Clear definitions, practical context, and a next step for every key term.
Alpha
A performance estimate relative to a specified model. It should not be used interchangeably with a raw return or a simple benchmark difference.
Explore the contextBacktest
A simulation of a stated rule using historical inputs and explicit modeling assumptions. It is not a live track record.
Explore the contextBenchmark
A reference selected to make a performance comparison meaningful in relation to a defined mandate or opportunity set.
Explore the contextBeta
A measure of return sensitivity to a chosen factor or reference within a specified estimation model and sample.
Explore the contextCandlestick
A chart mark encoding opening, high, low, and closing prices for a specified observation interval.
Explore the contextConversion rate
A defined count of completed actions divided by a stated eligible population, such as sessions. The counting unit and denominator matter.
Explore the contextCumulative return
Ending value divided by starting value, minus one, under a stated convention. External cash flows require appropriate treatment.
Explore the contextDrawdown
A decline from an observed running peak, expressed relative to that peak. Its measurement depends on observation frequency.
Explore the contextExcess return
A return difference relative to an identified reference. Here, simple benchmark excess return subtracts the benchmark return for the same period.
Explore the contextExposure
The relationship between a position or portfolio and a specified risk, factor, asset, or market condition. Its definition belongs in the analysis.
Explore the contextFunnel
A sequence of defined stages used to examine progression toward an outcome. A coherent funnel keeps the cohort and counting rules aligned.
Explore the contextLook-ahead bias
The use of information in a historical decision that would not have been available at that decision time.
Explore the contextMomentum
A family of measures describing change over a chosen horizon. Our sample uses five-session percentage rate of change.
Explore the contextOut-of-sample evaluation
An evaluation using observations not used to select or revise the tested version. Repeated feedback can erode that separation.
Explore the contextPercentage point
A unit for the arithmetic difference between two percentages. An 8.4% return minus 6.1% is 2.3 percentage points.
Explore the contextSimple moving average
The arithmetic mean of a fixed window of observations. The window length and the input series must be specified.
Explore the contextSlippage
The difference between a specified reference price and an execution price under a defined convention. It can affect realized outcomes.
Explore the contextSurvivorship bias
Distortion caused by analyzing a set that excludes relevant observations or assets that did not remain in a later surviving set.
Explore the contextTrading journal
A record separating a planned decision, actual execution, process adherence, and outcome for later review.
Explore the contextVolatility
Dispersion of returns under a specified calculation and sampling convention. It is not a complete measure of every form of risk.
Explore the contextWin rate
The fraction of defined observations classified as wins. Interpret it with payoff sizes, costs, exposure, and sample scope.
Explore the context