Question > Category > Finance

Q » What is information ratio?

Steven

06 Dec, 2025

0 | 0
⋮

A » The information ratio is a financial metric used to evaluate the performance of an investment portfolio or fund manager relative to a benchmark index. It measures the excess return over the benchmark per unit of risk, calculated as the active return divided by the tracking error. A higher information ratio indicates more efficient risk-adjusted performance, making it a valuable tool for investors assessing active management effectiveness.

Michael

06 Dec, 2025

0 | 0
⋮

Still curious? Ask our experts.

Chat with our AI personalities

Steve Steve

I'm here to listen you

Taiga Taiga

Keep pushing forward.

Jordan Jordan

Always by your side.

Blake Blake

Play the long game.

Vivi Vivi

Focus on what matters.

Rafa Rafa

Keep asking, keep learning.

Ask a Question

💬 Got Questions? We’ve Got Answers.

Explore our FAQ section for instant help and insights.

Question Banner

Write Your Answer

All Other Answer

A »The information ratio is a measure used in finance to evaluate an investment's performance relative to a benchmark. It is calculated by dividing the excess return of the investment over the benchmark by the standard deviation of this excess return, providing a risk-adjusted assessment of the investment's performance.

David

06 Dec, 2025

0 | 0
⋮

Ask a Question

Trending Questions

Related Questions

    No related questions found.

Banner 0 Banner 1 Banner 2 Banner 3

The Featured Listings

Fifth Avenue Billiards

Fifth Avenue Billiards

215 W 5th Ave

4

70 Reviews

Business Services

Joiner Partnership Inc.
Premium
Verified Badge Verified

Joiner Partnership Inc.

700 Rockmead Dr Ste 265

3

58 Reviews

Business Services

Isee3D Inc.

Isee3D Inc.

759 Sq Victoria bureau 200

4

82 Reviews

Media & Entertainment

Westinghouse Digital Electronics Llc

Westinghouse Digital Electronics Llc

16257 Gale Ave

4

31 Reviews

Computers & Electronics

Lynden R Mittleider Cpa Llc
Verified Badge Verified

Lynden R Mittleider Cpa Llc

311 Mill Street

3

57 Reviews

Business Services

Related Articles

Explore All Blog
Which Online Marketing Company Delivers Measurable ROI in Miami

05 Jan, 2026

Which Online Marketing Company Delivers Measurable ROI in Miami

Which Online Marketing Company Delivers Measurable ROI in Miami In the vibrant...
Which Digital Marketing Experts Provide Conversion Optimization in Houston

05 Jan, 2026

Which Digital Marketing Experts Provide Conversion Optimization in Houston

Which Digital Marketing Experts Provide Conversion Optimization in Houston In...
Which Digital Agency Offers Branding and Advertising in Chicago

05 Jan, 2026

Which Digital Agency Offers Branding and Advertising in Chicago

Which Digital Agency Offers Branding and Advertising in Chicago In the bustlin...
Which Marketing Company Handles Paid Media in Los Angeles

05 Jan, 2026

Which Marketing Company Handles Paid Media in Los Angeles

Which Marketing Company Handles Paid Media in Los Angeles In the vibrant and co...