Fincanva’s simulation output and backtesting analysis is a comprehensive report designed to help users analyze and refine their investment strategies. It includes multiple data-rich tabs and customizable settings that provide deep insights into performance, risk, and areas for improvement. Before exploring the detailed output, users can configure general settings like benchmarks and choose whether to simulate the effects of costs, taxes, and reinvesting dividends or profits.
Here are the 8 key tabs found in every simulation output:
Equity Evolution: Tracks changes in total capital, invested capital, cash balance, and drawdowns over time. It includes growth curves, cost breakdowns, inflation adjustments, and a logarithmic scale for clearer comparisons.
Positions History: Lists all positions opened during the simulation, including details like entry and exit dates, profit/loss, dividends received, and corporate actions (splits). It provides transparency into each model’s activity and position-level returns.
Portfolio Metrics: Summarizes key performance indicators (KPIs) such as total return, volatility, Sharpe ratio, and drawdowns. If a benchmark is selected, this tab also compares the portfolio’s performance side-by-side with the benchmark.
Monthly Returns: Displays monthly and yearly returns, drawdowns, and benchmark comparisons. Users can also view Benchmark Excess, which shows how the portfolio outperformed or underperformed the benchmark.
Allocation History: Shows how capital was distributed across different models over time. You can explore both absolute profit/loss and percentage-based allocation shifts.
Models Analytics: Evaluates individual models within the portfolio in terms of performance, volatility, and correlation. This tab helps users understand which models contribute most to returns or risk.
Start Date Sensitivity: Assesses how the choice of start date affects simulation outcomes. This is helpful for identifying robust strategies versus those sensitive to specific market conditions.
Current State: Displays the simulated current holdings if the portfolio were implemented in real life today. It serves as a real-time snapshot to guide actual portfolio implementation.
In addition to these tabs, a Simulation Settings section at the top allows users to:
Enable or disable costs (trading fees, slippage, borrowing rates).
Enable or disable tax impact (based on user-defined tax profiles).
Enable reinvestment of profits and dividends.
Change benchmarks.
? Equity Evolution - What is it?
? Position History - What is it?
? Portfolio Metrics - What is it?
? Monthly Returns - What is it?
? Allocation History - What is it?
? Models Analytics - What is it?
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