Portfolio Management

Sharpe Ratio Calculator

Determine if your investment returns are the result of smart decisions or a result of excess risk. The Sharpe ratio calculates risk-adjusted return.

Portfolio Statistics

Expected Portfolio Return (%)

Risk-Free Rate (%)

E.g., yield on 10-year Govt. Bonds (usually ~7% in India).

Portfolio Standard Deviation (%)

The volatility or total risk of the portfolio.

Risk-Adjusted Return

Sharpe Ratio

0.80

Sub-optimal (Taking too much risk for return)

A ratio above 1.0 is considered good. Higher means better returns per unit of risk taken.