Request a Tool
 

Information Ratio Calculator

Input

Output

Portfolio Return
0
Information Ratio
0

Formula

Defination / Uses

Analyze your portfolio's redundant return against the shadowing error. The information rate is one of the most generally used criteria to measure the portfolio director's skill in managing investments.

The Sharpe rate compares the portfolio returns to the hazard-free rate and measures it against the standard deflection of the portfolio returns. first of the threat-free rate, the information rate, which you can estimate with our information rate calculator, measures the portfolio returns against its standard. Since the information rate uses a standard as a guideline, the extra return is measured against the shadowing error rather of the standard divergency of the portfolio.