Health Factor
Last updated
Last updated
Users can understand their loan health and collateral requirements by viewing the Strategy Account Health Factor.
The Health Factor is located in the Strategy Overview module at the top of each Strategy Details page:
Health Factor is a ratio that assesses the risk of a borrower's position, with higher values indicating a safer margin against liquidation. Calculated as collateral - loss / loan. At6 times loan to value, an account will be liquidated. Profit does not factor into Health Factor nor does it mitigate liquidation risk.The health factor percentage indicates the overall health status of your active loan, which can change based on your open positions and their collateral requirements.