Are dividends taken into account for backtesting

[dunwoodyjr]

If I run a basic sector rotation strategy, using returns over X days as ranking, will NJ recognize dividend payouts as part of the over all "Close(0) - Close(X) / Close (X)" equation, as long as the securities have been updated using Instrument Manager

[NinjaTrader_ChelseaB]

Hello dunwoodyjr,

Dividends do cause historical data to adjust and NinjaTrader is able to make those adjustments by downloading the splits & dividends information from a data provider.

The best data provider to connect to for updating splits & dividends is Yahoo.

This will adjust the historical data which will affect how your strategy runs.

Below is a link to the help guide on Adding Splits and Dividends.
http://www.ninjatrader.com/support/h..._dividends.htm