What is “Profit Factor"?
Profit factor is a unique metric used by many of the leading hedge funds.
Profit factor is a unique metric used by many of the leading hedge funds in the world to help them determine which strategy to invest funds into.
The way we determine the Profit Factor is by dividing the net PnL of total positive trades (minus commissions and swap fees) by the net PnL of total negative trades.
To pass a Profit Factor Challenge, you must meet the Profit Factor as well as the winning trade percentage within the allotted number of trades in order to pass the challenge.