How can I calculate the Treynor ratio for my cryptocurrency portfolio and determine if it is good?
shen charlesMay 06, 2022 · 3 years ago1 answers
I would like to calculate the Treynor ratio for my cryptocurrency portfolio. Can you provide a step-by-step guide on how to calculate it and how to determine if the ratio is good or not?
1 answers
- May 06, 2022 · 3 years agoAt BYDFi, we understand the importance of evaluating the performance of your cryptocurrency portfolio. To calculate the Treynor ratio, you can follow the steps mentioned earlier. However, it's crucial to remember that the Treynor ratio is just one metric among many that can help you assess your portfolio's performance. It's recommended to consider a combination of different ratios and indicators, such as the Sharpe ratio and the Sortino ratio, to get a more comprehensive view of your portfolio's risk-adjusted returns. Additionally, it's always a good idea to consult with a financial advisor or conduct thorough research before making any investment decisions.
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