Eq Curve Analyzer 2

The eq curve analyzer 2 ingests a time-series of portfolio equity values and returns a structured performance profile. It is used by individual traders, fund managers, risk analysts, and compliance teams after backtests or live trading to quantify growth and risk. Typical tasks include comparing strategy curves, evaluating durability through drawdown analysis, and producing metrics for reports. Assumptions: inputs represent total portfolio value including cash flows; outputs focus on risk-adjusted performance rather than attribution.

Core Logic & Features: Domain capabilities include input validation, automated metric computation, and concise summaries. Required features: a clean equity series or sequential values; optional features: dates, currency, risk-free rate, period granularity, and CSV export. Optional advanced capabilities include rolling metrics, scenario comparisons, and export formats.

Inputs & Outputs: Inputs: equity_values (array of numbers, units: account currency, required), dates (array of ISO date strings, optional), risk_free_rate (decimal annual, optional), period (daily, weekly, monthly; optional), currency (string; optional). Outputs: start_value, end_value, total_return, cagr, annual_volatility, sharpe_ratio, sortino, max_drawdown, drawdown_duration, recovery_time, ending_date, summary_metrics.

Algorithms & Calculations: Returns r_t = (E_t / E_{t-1}) - 1; CAGR = (E_n / E_0)^(1/n) - 1; annualized_volatility = std_dev(r_t) * sqrt(annualization_factor); Sharpe = (mean(r_t) - risk_free_rate) / std_dev(r_t); Max_drawdown from peak-to-trough, drawdown_duration as consecutive-period decline, recovery_time as periods to reach prior peak.

Error & Edge Cases: If data length < 2, or dates mismatch, or all values identical, the tool emits a safe, explicit result with NaN when a metric is undefined and provides a clear fallback. External data unavailability or degenerate inputs are handled with warning-only flags and empty metric sets.

Industry/Region & Localization: Uses standard US trading calendar (252 days) for volatility scaling by default; currency and tax treatment depend on input; supports common currencies; configurable risk-free rate by region.

Assumptions & Exclusions: Assumes inputs reflect actual portfolio value; does not reconstruct cash flows from external deposits without explicit cash-flow inputs; excludes attribution by instrument or strategy factors and excludes forward-looking projections.