drawdown
/ˈdrɔː.daʊn/
Definition
A measure of the decline in value of an asset or portfolio from its historical peak to its lowest point during a specific period.
Etymology
The word originated in the mid-19th century as a compound of 'draw' and 'down,' initially referring to the act of withdrawing funds or reducing resources. Over time, it evolved in financial contexts to denote a reduction in value, capital, or market standing.
In the news
In the context of market analysis, the term refers to the potential risk of loss or decline in value that investors might face. It is used here to warn of market volatility and the inherent dangers in current trading conditions.
Observe.AI Featured as Leading on the CMP Prism for Voicebot/Conversational IVR Showcasing Capability in Customer Contact and CX Technology
Read the full article ↗Morningstar