Thanks for the reference! I looked it up and yes, the Sharpe Ratio pretty closely encodes what I think I meant by "how well it outperforms an index fund". I'm

Thanks for the reference! I looked it up and yes, the Sharpe Ratio pretty closely encodes what I think I meant by "how well it outperforms an index fund". I'm pretty conservative when it comes to gambling my own money so I doubt I'd ever go near a hedge fund. Since getting involved in a debate on here about the Kelly Criterion I've wondered on-and-off what the best way to bet is, if you want to maximise the bottom 5th percentile of your profit.