Comparison of Investment Risk Metrics

What are Investment Risk Metrics?

Investment Risk Metrics are quantitative measures used by investors and financial professionals to assess the level of risk associated with an investment or portfolio.

Maximum Drawdown vs. Beta

	Maximum Drawdown	Beta
Description	Measures the largest peak-to-trough decline	Measures an asset's sensitivity to market movements
Interpretation	Indicates potential loss in a downturn	Values greater than 1 indicate higher volatility
Risk Level	High	High