Sortino Ratio Calculator
Sharpe's smarter sibling — excess return over downside deviation only, so good volatility isn't punished.
Formula
Investors don't fear upside surprises, so deviation below the target is the truer risk. A Sortino well above Sharpe (ratio > 1.4) suggests pleasant right-skew (momentum, trend); below ~1.2, the volatility is symmetric or worse — useful for screening hedge-fund-style return streams.
Not financial advice — for informational and analytical use only. Verify all figures with a qualified professional before acting on them.
Need sortino ratio calculator results fast? Analysts, founders, traders and finance professionals use the Sortino Ratio Calculator to skip the spreadsheet and get a defensible answer in one step — free, private and instant.
About Sortino Ratio Calculator
Sharpe's smarter sibling — excess return over downside deviation only, so good volatility isn't punished. Investors don't fear upside surprises, so deviation below the target is the truer risk. A Sortino well above Sharpe (ratio > 1.4) suggests pleasant right-skew (momentum, trend); below ~1.2, the volatility is symmetric or worse — useful for screening hedge-fund-style return streams. The governing relationship is Sortino = (R − MAR) / σ_downside. The Sortino Ratio Calculator computes entirely in your browser — free, private (your figures never leave your device) and instant, recalculating live as you change any input.
How to use Sortino Ratio Calculator
- 1Enter Portfolio return (% p.a.), Minimum acceptable return (%), Downside deviation (%), Full volatility (for Sharpe compare) (%) into the Sortino Ratio Calculator.
- 2The result is computed automatically using Sortino = (R − MAR) / σ_downside — there is no button to press.
- 3Change any input to model a different scenario, then copy or share the result.
Why use Sortino Ratio Calculator?
- ✓Computes sortino ratio calculator instantly with the correct formula — no spreadsheet needed
- ✓100% free and unlimited, with no sign-up, login or paywall
- ✓Runs entirely in your browser, so the figures you enter stay private
- ✓Shows the formula, a live worked example and references so you can defend the number
Frequently asked questions
What is the formula behind the Sortino Ratio Calculator?+
Sortino Ratio Calculator uses Sortino = (R − MAR) / σ_downside. Investors don't fear upside surprises, so deviation below the target is the truer risk. The tool substitutes your actual inputs into this relationship and shows the worked example step by step.
What inputs does the Sortino Ratio Calculator need?+
Enter Portfolio return (% p.a.), Minimum acceptable return (%), Downside deviation (%), Full volatility (for Sharpe compare) (%) and the result updates immediately — there is no button to press. Change any value to model a different scenario in real time.
Is the Sortino Ratio Calculator free, and is my data private?+
Yes — it is completely free with no sign-up or usage limit, and it runs entirely in your browser, so the numbers you enter are never uploaded or stored on any server. It is for informational and analytical use, not financial advice.
What should I watch out for when using the Sortino Ratio Calculator?+
A Sortino well above Sharpe (ratio > 1.4) suggests pleasant right-skew (momentum, trend); below ~1.2, the volatility is symmetric or worse — useful for screening hedge-fund-style return streams.
What is the Sortino Ratio Calculator based on?+
The method follows authoritative sources: Sortino & van der Meer (1991). The formula and references are shown on the page so you can verify and cite the result.
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