Profit factor(Profit factor)
The ratio of gross profit to gross loss. 1 is breakeven, above 1.5 is considered healthy, above 2 is strong; very high values raise suspicion of overfitting.
Also written as: kâr faktörü · kar faktörü
Profit factor is a different expression of expectancy and is standard in backtest reports. Once costs are included, 1.3-1.8 is a realistic range.
Don't look at a single metric: profit factor, maximum drawdown, number of trades and the longest losing streak are evaluated together.
Related terms
Where it appears in the guides
Guides whose text uses this term; most frequent first.
- Performans metrikleri: kazanma oranı, profit factor, SharpeStrategy & Backtesting6×
- Algoritmik trading'e giriş: Python ile ilk adımlarTrading Systems & Data2×
- Aşırı uyum (overfitting) ve sağlamlık testleriStrategy & Backtesting2×
- Backtest: veri, örneklem büyüklüğü ve hatalarStrategy & Backtesting1×
- İleri test (forward test) ve demo dönemiStrategy & Backtesting1×
- İşlem günlüğü araçlarıPlatforms & Tools1×