Drawdown de-risk threshold

The drawdown de-risk threshold is the automatic brake: the most your account is allowed to fall from its recent peak before SleeveFolio stops adding new risk. You set it as a percentage on Risk & Caps (the default is 8%). When your account’s drawdown crosses it, SleeveFolio stops putting new money at risk instead of riding the slide.

What trips it

Drawdown is measured against your account’s highest value over the last 30 days (its recent peak). Cross the threshold and new automated buys stop. Existing positions are not sold automatically, and you can still place an order by hand if you choose; the brake de-risks the automated engine by not adding, never by forced liquidation. (If you want out entirely, that’s what the kill switch is for.)

You don’t have to be watching to catch it: when the brake first engages, SleeveFolio sends you a notification, and the auto-execute panel under Settings → Strategies shows a Drawdown brake active notice for as long as it stays on.

Recovery

The brake releases when drawdown recovers back inside the threshold. You can also raise the threshold (it goes through the same review-then-apply step as any other caps change) if you decide the limit was too tight; that’s a deliberate choice you preview before it takes effect rather than a silent override.