Market Regime
The correlation methodology evaluates cohorts across various historical environments, including trend, chop, and crisis volatility regimes. Understanding the environment is critical when assessing why a specific cohort might experience a dominant failure mode, such as excessive drawdown or inactivity.
Historical Pattern
Historical backtests reveal specific limitations within evaluated cohorts. For instance, one cohort of 278 samples exhibited a 61.49% probability of failing due to inactivity, resulting in a 0.0% observed survival rate. Other cohorts demonstrated high probabilities of excessive drawdown, such as an 89.94% probability across 260 samples, a 100% probability across 90 samples, and a 96.85% probability across 56 samples. In these instances, the observed survival rate was consistently 0.0%.
Workflow Pointer
When reviewing the correlation methodology, users can examine the deterministic surfaces to understand these historical limitations. The system currently supports 5 generated page families and a sku whitelist count of 6. This information helps contextualize the parameters and risk characteristics of the evaluated cohorts without altering the final verdict.