Investing is all about balancing risk and return. The riskier a security, the more investors demand to be paid for holding it. It's important to hold riskier investments, such as growth stocks ...

Based on the portfolio returns, we then calculated risk and return statistics ... and Conservative Minus Aggressive investment, or CMA. The chart below shows the correlation between the global ...

This is done by removing the rate of return on a risk-free investment, such as a U.S. Treasury Bond, from the experienced rate of return. This is then divided by the associated investment’s ...

To calculate the Sharpe ratio, you first need your portfolio's rate of return. Next, you need the rate of a risk-free investment, such as Treasury bonds. Subtract this risk-free rate from your ...