Sharpe Ratio Calculator
Calculate the Sharpe ratio to measure risk-adjusted investment return.
Calculation Inputs
Calculation Results
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Enter inputs on the left and click Calculate to view results.
Formula & Methodology
Sharpe = (Portfolio Return − Risk-Free Rate) / Standard Deviation
A Sharpe ratio above 1 is good, above 2 is very good, above 3 is excellent. Negative means underperforming risk-free rate.
Frequently Asked Questions
What is a good Sharpe ratio?
Above 1.0 is acceptable, above 2.0 is good, above 3.0 is excellent. Most professionally managed funds target 1.0-2.0.