Close the Skill Gap -> Enroll to be a Certified Financial Modeling & Valuation Analyst (FMVA)® Today!

Sharpe Ratio Calculator Template

Sharpe Ratio Calculator Template

This sharpe ratio calculator template demonstrates the calculation of sharpe ratio to determine an investment’s performance relative to risk.

Below is a preview of the sharpe ratio calculator template:

Sharpe Ratio Calculator Template Screenshot

 

Download the Free Template

Enter your name and email in the form below and download the free template now!

Sharpe Ratio Calculator

Download the free Excel template now to advance your finance knowledge!

 

The Sharpe ratio is commonly used as a means of calculating the performance of an investment after adjusting for its risk. This allows investments of different risk profiles to be compared against each other.

In the Sharpe Ratio, a higher value means greater returns for the portfolio relative to the inherent risk. This also means a better investment. Because of the simplicity of the formula, the Sharpe Ratio can be used to evaluated a single stock, or an entirely diversified portfolio.

 

Sharpe Ratio formula

Sharpe Ratio = (Rx – Rf) / StdDev Rx

Where:

  • Rx = Expected portfolio return
  • Rf = Risk free rate of return
  • StdDev Rx = Standard deviation of portfolio return / volatility

 

More Free Templates

For more resources, check out our business templates library to download numerous free Excel modeling, PowerPoint presentation and Word document templates.

  • Excel Modeling Templates
  • PowerPoint Presentation Templates
  • Transaction Document Templates

Financial Analyst Certification

Become a certified Financial Modeling and Valuation Analyst (FMVA)® by completing CFI’s online financial modeling classes and training program!