The Formula for the Capital-To-Risk Weighted Assets Ratio The formula for calculating the capital-to-risk weighted assets ratio is: Capital-To-Risk Weighted Assets = (Tier 1 Capital + Tier 2 ...

also known as the reward-to-volatility ratio, is a performance metric for determining how much excess return was generated for each unit of risk taken on by a portfolio. Excess return in this ...

The Sharpe ratio is one way to capture this risk-versus-reward detail and give investors extra insight into their assets' performance. Some investors use an index fund as a benchmark and attempt ...

The Sortino ratio uses three inputs for its formula. The numerator is the difference between a portfolio's return and the risk-free rate of return. You can use a portfolio's actual or expected return.

The formula for calculating the capital-to-risk weighted assets ratio is: Capital-To-Risk Weighted Assets = (Tier 1 Capital + Tier 2 Capital) / Risk-Weighted Assets) Assume you want to calculate Bank ...