Updated: 2026-02-20
Calculate Sortino ratio from annual return, risk-free rate, and downside deviation to benchmark downside-adjusted performance. The calculator is free and intentionally simple so you can plan trades quickly without skipping risk logic.
$ tool
Calculate Sortino ratio from annual return, risk-free rate, and downside deviation to benchmark downside-adjusted performance.
Note
Outputs are only as accurate as your inputs.
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$ sortino-ratio
0.525 Sortino
Enter your inputs before you place the trade, not after. Pre-trade planning is where calculators create value.
Use realistic values based on your actual execution conditions. If you understate slippage, fees, or stop distance, output quality collapses.
Document the result inside your journal so you can compare planned vs realized outcomes during review.
Sortino ratio is like Sharpe, but it only penalizes downside volatility (downside deviation).
If a system has asymmetric returns, Sortino can be more informative than Sharpe, but it still depends on clean input assumptions.
Most preventable losses come from skipping one simple calculation when markets move fast. This tool enforces the minimum math needed for disciplined execution.
The value compounds when used consistently. One correct risk decision rarely changes a year; repeated correct decisions usually do.
Tie calculator output to your strategy tags so you can evaluate whether your planning assumptions match live performance.
Use this tool at planning time, then compare outcome quality in weekly review sessions.
If planned and realized values diverge, investigate execution behavior before adjusting strategy logic.
Pair this with one behavior correction each week for compounding improvement.
Using unrealistic inputs because they feel better emotionally.
Changing parameters mid-trade to justify staying in a bad position.
Treating one output as a signal to trade rather than a risk filter.
Yes. The calculator is free and available without signup.
Sortino is similar to Sharpe but uses downside deviation instead of total volatility. It focuses on harmful volatility, which can be more relevant for trading systems with asymmetric returns.
Use Sortino when upside volatility is not a problem and you care more about drawdowns or negative swings. For many strategies, downside-only risk aligns better with how traders experience pain.
Outputs are only as accurate as inputs. Use realistic assumptions and review planned vs realized values weekly.
Yes. You can pair tool outputs with your review workflow and setup tags for better post-trade diagnostics.
See plans and run one weekly review loop with Tiltless: edges, leaks, and enforceable next actions.
