Calculate Sharpe ratio from portfolio return, risk-free rate, and volatility.
Also known as: calculate sharpe ratio calculator, sharpe ratio calculator, calculate sharpe ratio, investing finance, investing calculate sharpe ratio
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Sharpe ratio
0.42
Interpretation
Moderate
0.4
Moderate
Screening only — not a medical diagnosis.
Calculate Sharpe ratio from portfolio return, risk-free rate, and volatility. Sharpe = (Portfolio return − Risk-free rate) ÷ Volatility.
Sharpe = (Portfolio return − Risk-free rate) ÷ Volatility.
9% return, 4% risk-free, 12% volatility → Sharpe ratio of 0.42.
Above 1 is often considered strong; compare strategies on the same time period and volatility measure.