Source: wikibot/treynor-ratio
= Treynor ratio
{wiki=Treynor_ratio}
The Treynor Ratio, also known as the reward-to-volatility ratio, is a measure used to evaluate the performance of an investment or portfolio relative to its risk. It was developed by Jack Treynor and is particularly useful for assessing the returns of a portfolio in relation to the systematic risk (market risk) it bears.