# Leaderboard & ranking Chamber's leaderboard helps depositors compare vaults at a glance. Two metrics do most of the work: **Vault Score** (an ordered performance summary) and **Risk Factor** (a 1–5 downside-volatility rating). Both are backward-looking. Neither predicts future returns. ## Vault Score A single number combining risk-adjusted performance and vault size. ``` Vault Score = Sortino ratio × √(7-day average vault value) ``` Two components: * **Sortino ratio.** A common risk-adjusted return metric — excess return divided by downside deviation. Rewards steady upward performance and penalises downside volatility. Unlike the Sharpe ratio, it ignores upside volatility (because upside volatility is what depositors want). * **√(7-day average vault value).** A size term. Rewards vaults that have actually deployed meaningful capital. ### Why the size term Without the size term, a vault with $100 AUM that got lucky could top the leaderboard. That wouldn't be useful information. The `√(value)` term means: * Size matters, but with diminishing returns — a $10M vault doesn't score 100× a $100k vault; it scores \~10× (all else equal). * A new vault with no meaningful capital scores low even if early performance is good. It has to get capital to get credit. ### Eligibility Not every vault is eligible for a Vault Score. Vaults typically need a minimum track record (in days) and some minimum level of performance before they're ranked. Exact thresholds are set in the app, not onchain, and can change — check the in-app leaderboard filters for current eligibility rules. ### What Vault Score doesn't capture * **Strategy difficulty.** A stablecoin yield vault and a leveraged ETH vault are scored by the same formula despite being very different products. Both should be evaluated on their own terms. * **Forward returns.** Past Sortino doesn't predict future Sortino. * **Manager changes.** If a vault changes strategy or manager, the score takes weeks to catch up. * **Correlation.** Two vaults with high Vault Scores may hold correlated positions; holding both doesn't diversify you as much as you'd think. ## Risk Factor A 1–5 rating based on **downside deviation** — how much the vault's share price has moved down historically. * **1** — historically low downside volatility. Stablecoin strategies, tight spreads. * **2** — low. Steady yield, diversified exposure. * **3** — moderate. Typical managed crypto strategy. * **4** — high. Concentrated positions, directional bets. * **5** — very high. Leveraged tokens, thinly-traded assets, aggressive strategies. Risk Factor is useful as a **first-pass filter** — if you want something that won't move much, look for 1s and 2s. If you want aggressive alpha, you'll find it at 4s and 5s. ### What Risk Factor doesn't capture * **Tail risk.** A strategy that's stable 99% of the time and catastrophic 1% of the time can show a low Risk Factor despite carrying high real risk. * **Strategy changes.** If a manager pivots to a riskier approach, Risk Factor lags. * **Smart-contract risk.** Contract-level risks (bugs, exploits) don't move with vault share prices and aren't in Risk Factor. See [Deposit → Risks](/deposit/risks.md) for the full risk picture. ## The leaderboard UI The Chamber app leaderboard lets you: * Filter by **chain**. * Filter by **category** (managed, automated, AI-assisted, etc. — a label managers set in vault settings). * Sort by **Vault Score**, AUM, age, or fees. * Filter by **Risk Factor**. ## How to read the leaderboard A few sensible rules of thumb: 1. **Filter by your risk tolerance first.** Don't sort by top Vault Score across the whole board — high scores at Risk Factor 5 are not the same product as high scores at Risk Factor 1. 2. **Filter by track-record length.** Vaults less than a few months old have noisy Vault Scores. Require at least 2–3 months of history for a signal you can rely on. 3. **Don't treat the leaderboard as a recommendation.** It's a sortable directory, not a buy list. Read the vault page before depositing. ## Related * [Deposit → Find a vault](/deposit/find-a-vault.md) — depositor's workflow for browsing. * [NAV and accounting](/concepts/nav-accounting.md) — what share price movements (which Risk Factor reads from) actually represent. * [Risks](/deposit/risks.md) — the fuller risk framing. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.chamberfi.com/concepts/leaderboard-ranking.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. 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