VizWealth Understanding Risk & Reward

In this quick VizWealth walkthrough, we compare absolute return vs. risk-adjusted return by looking at QQQ and the 3x leveraged TQQQ. While leverage can amplify gains, it also magnifies drawdowns—so a higher total return doesn’t automatically mean a better investment outcome. VizWealth helps quantify this tradeoff using RoMAD (Return over Maximum Drawdown), showing how much upside you earned per 1% of downside experienced. The key takeaway: over the same period, QQQ can deliver a stronger risk-reward profile than TQQQ, even if the leveraged fund’s absolute returns look more impressive at first glance.