Omega Ratio Tracker: Real-Time Probability-Weighted Performance
Track Omega ratio in real-time with Omega Ratio Tracker. Monitor probability-weighted gains vs losses, optimize portfolio performance with advanced distribution analysis.
Profabighi Capital Research Team
December 27, 2025
Trading Risk Warning
Trading Risk Warning: Trading involves substantial risk of loss and is not suitable for all investors. Past performance does not guarantee future results. You should carefully consider your financial situation and consult with financial advisors before making any investment decisions.
TradingView Scripts
What is Omega Ratio Tracker?
Omega Ratio Tracker is a real-time indicator that continuously monitors the Omega ratio - a sophisticated metric measuring probability-weighted gains versus losses across the entire return distribution.
Core Features
- Real-time Omega ratio calculation
- Probability distribution analysis
- Gain/loss ratio tracking
- Multi-asset comparison
- Advanced alerts
Why Track Omega Ratio?
Advantages Over Other Ratios
Omega Considers Entire Distribution:
- No assumptions about distribution shape
- Captures tail risk
- Probability-weighted analysis
- More comprehensive than Sharpe/Sortino
Key Benefits:
- Better for complex strategies
- Captures asymmetric returns
- No normality assumption
- Professional-grade metric
Trading Strategies
Strategy 1: High Omega Portfolio
Objective: Build portfolio with best probability-weighted returns
Selection Criteria:
- Omega > 1.5 (strong)
- Positive trend
- Consistent gains
- Low tail risk
Rebalancing: Monthly, replace Omega < 1.2
Strategy 2: Omega Threshold System
Thresholds:
- Excellent: > 2.0
- Very Good: 1.5-2.0
- Good: 1.2-1.5
- Acceptable: 1.0-1.2
- Poor: < 1.0
Actions:
- Increase: Omega > 1.5
- Hold: Omega 1.2-1.5
- Reduce: Omega 1.0-1.2
- Exit: Omega < 1.0
Profabighi Capital Features
Advanced Tracking
Metrics:
- Current Omega ratio
- 30/90-day rolling Omega
- Gain/loss distribution
- Trend direction
- Performance percentile
Multi-Asset Support
- Track up to 33 assets
- Portfolio Omega calculation
- Comparative rankings
- Sector analysis
Visual Dashboard
Color Coding:
- Green: Omega > 1.5
- Blue: Omega 1.2-1.5
- Yellow: Omega 1.0-1.2
- Red: Omega < 1.0
Best Practices
- Set Realistic Targets: Omega > 1.5 for most strategies
- Monitor Regularly: Weekly for active, monthly for passive
- Understand Distribution: Omega captures full picture
- Use for Complex Strategies: Best for options, derivatives
- Act on Signals: Exit when Omega < 1.0 persistently
FAQ
What's a good Omega ratio?
Omega > 1.5 is strong, 1.2-1.5 is good, 1.0-1.2 is acceptable. Above 1.0 means more gains than losses.
Omega vs Sharpe - which is better?
Omega is more comprehensive as it considers entire return distribution without normality assumptions.
How often does it update?
Updates with each new bar, providing near real-time measurements.
Can I track multiple assets?
Yes, up to 33 assets simultaneously with Profabighi Capital Omega Ratio Tracker.
Conclusion
Omega Ratio Tracker provides sophisticated probability-weighted performance monitoring, ideal for professional traders and complex strategies.
Key Benefits:
- Probability-weighted analysis
- Real-time monitoring
- Multi-asset tracking
- No distribution assumptions
- Profabighi Capital professional implementation
Related: Omega Ratio | Sharpe Ratio Tracker | Sortino Ratio Tracker | Portfolio Efficiency Optimizer