Since the 1990s, Value at Risk (VaR) has been the dominant framework for measuring market risk. Following Basel III, Expected Shortfall became the regulatory standard for capturing extreme losses.

The comparison below illustrates Tropezial's approach to capital preservation relative to a traditional market benchmark.

To ensure a like-for-like comparison, both strategies are normalised to the same initial capital, allowing the comparison to focus exclusively on the behaviour of each approach rather than portfolio size.