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Sharpe ratio calculator

Calculate the Sharpe ratio as portfolio return minus the risk-free rate, divided by portfolio volatility.

INPUTSEnter your figures
METHODOLOGY

Transparent calculation

Calculate the Sharpe ratio as portfolio return minus the risk-free rate, divided by portfolio volatility.

Calculation engineSHARPE · RATIOPreset assumptions can be adjusted in the calculator when applicable.
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Results are mathematical estimates based solely on the values entered. They are not financial, investment, tax or legal advice, nor an offer or recommendation of any financial product.

GUIDE & CONTEXT

How Sharpe ratio calculator works

What it calculates

Calculate the Sharpe ratio as portfolio return minus the risk-free rate, divided by portfolio volatility.

Formula and methodology

Use it for educational simulations and mathematical comparisons, not as financial advice.

SHARPE · RATIO

Practical example

Reproducible example: use this page’s initial values (Portfolio return: 10% · Risk-free rate: 3% · Portfolio volatility: 15%) and press Calculate. Then change one variable at a time to see how it affects the result.

Factors that change the result

The result changes whenever the input variables change. Compare multiple scenarios and keep units, rates and periods consistent.

Context: This tool belongs to the Investments category and is designed to solve a specific mathematical intent using user-entered values.
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Frequently asked questions

What does Sharpe ratio calculator calculate?

Calculate the Sharpe ratio as portfolio return minus the risk-free rate, divided by portfolio volatility. Calculate the Sharpe ratio as portfolio return minus the risk-free rate, divided by portfolio volatility.

What values do I need to enter?

Enter only the values requested by this calculator’s form. The initial values are examples and can be replaced with your own assumptions.

What can change the result?

The result changes whenever the input variables change. Compare multiple scenarios and keep units, rates and periods consistent.

Is the result financial advice?

No. FinanceCalc performs mathematical calculations using the values you enter. It does not recommend products, investments, loans or specific financial decisions.