r/Testfolio | reddlx

New testfolio Update #91

New https://testfol.io/ update for May 4, 2026:

Added a new Drawdowns tab to the results of the backtester, analyzer, and tactical tools that shows detailed drawdown information and charts for each portfolio/asset/strategy.
Hovering over the drawdown values in the backtester, analyzer, and tactical tools now shows the start and end dates of the drawdown period.
No more update to get the latest version! We’ve switched to a continuous deployment model, so updates will now be rolled out as soon as they are ready. Check the changelog regularly to see what’s new!
Added min CAGR constraint to the Portfolio Optimizer so you can now set a CAGR floor when minimizing volatility or maximizing Sharpe.
Added new rebalancing/cashflow frequency options: Every 2 years and Every 5 years.
Asset Analyzer now calculates and reports a metrics tab in the results.
Reorganized the result tabs for the backtester, analyzer, and tactical tools to improve clarity and navigation. Telltale and correlations are now under the Summary tab. Risk vs Returns and Seasonality are now under the Returns tab. Income, Cashflows and Rebalancing stats are now under the Events tab. Portfolio Allocation and Portfolio Pies are now under the Allocation tab. Current Status, Signals and What-if are now under the Signals & Status tab.

Cumulative and CAGR not making sense to me

MTUM ending value is greater than total contributions, but still shows a negative cumulative return and negative CAGR. What am I not understanding?

testfol.io

u/whatthewhat_007 — 6 days ago

▲ 7 r/Testfolio+1 crossposts

Taxable events

I’ve been using the Tactical Asset Allocation backtester quite a bit lately, and it’s easily one of the most powerful tools on the site. However, there is one critical "real-world" variable currently missing that heavily impacts the performance of high-turnover strategies: Taxable Events.

In many jurisdictions, rebalancing or triggering a tactical switch (e.g., moving from SPY to CASH based on a moving crossover) creates a realized capital gain. Without accounting for this, the backtested CAGR and ending balance are significantly inflated compared to what a user would actually see in a non-tax-advantaged account.

Many tactical strategies look like alpha generators until you realize that 20+% of every winning trade goes to the government. Adding this would make Testfolio the gold standard for realistic, after-tax backtesting.

Thank!!

reddit.com

u/Ok_Atmosphere0909 — 16 hours ago