Treynor Ratio Calculator Excel Template
Treynor Ratio Calculator Excel Template
Interactive Excel Financial Model
Download, customize, and integrate into your own analysis
What's Included
- Interactive financial model with live Excel formulas
- All formulas visible and fully editable
- Professional formatting with color-coded inputs & outputs
- Formula reference sheet with variable definitions
- Step-by-step instructions sheet
- Compatible with Microsoft Excel 2016 and later
Download Template
Price range: $0.00 through $20.00
Professional Treynor Ratio Excel template with automatic performance rating. Calculate excess return per unit of systematic risk instantly.
Online Calculator vs Excel Template
| Feature | Online | Excel |
|---|---|---|
| Instant use — no download | ✓ | — |
| Works offline | — | ✓ |
| Customize formulas & layout | — | ✓ |
| Save & share with colleagues | — | ✓ |
| Integrate into your own models | — | ✓ |
| Print-ready formatting | — | ✓ |
About This Template
Calculate risk-adjusted portfolio performance with this professional Treynor Ratio Excel template. The Treynor ratio measures excess return per unit of systematic (market) risk, making it the ideal metric for evaluating well-diversified portfolios where unsystematic risk has been eliminated.
What You Can Calculate
This template instantly computes:
- Treynor Ratio — Your portfolio's excess return divided by its beta, showing how much return you earn per unit of market risk
- Performance Rating — Automatic classification from Negative to Exceptional based on general guidelines used by portfolio managers
Required Inputs
Enter just three values to get your results:
- Portfolio Return (Rp) — Your annualized portfolio return (e.g., 12 for 12%)
- Risk-Free Rate (Rf) — Current Treasury or T-Bill rate (check treasury.gov for current rates)
- Portfolio Beta — Your portfolio's systematic risk relative to the market benchmark
Methodology
The Treynor ratio uses the formula: (Rp - Rf) / Beta. Unlike the Sharpe ratio which uses total risk (standard deviation), the Treynor ratio isolates systematic risk only—making it more appropriate when comparing portfolios that are part of a larger, diversified investment strategy.
Assumptions & Limitations
- All returns must be annualized and use the same measurement period
- Beta should be measured against your chosen market benchmark (typically S&P 500)
- Best suited for well-diversified portfolios where unsystematic risk is minimal
- Rating thresholds are general guidelines—always compare portfolios over the same time period
Frequently Asked Questions
Copy the Calculator sheet for each portfolio you want to analyze. Enter each portfolio's return, risk-free rate, and beta in separate sheets, then compare the Treynor ratios side by side. The portfolio with the higher Treynor ratio delivered better risk-adjusted returns per unit of systematic risk.
You can calculate beta using our Beta Calculator, obtain it from your brokerage platform, or find it on financial data sites like Yahoo Finance or Bloomberg. For mutual funds and ETFs, beta is typically listed in the fund's fact sheet. Make sure the beta uses the same benchmark (usually S&P 500) and time period as your return data.
A fully interactive financial model with live Excel formulas, an Instructions sheet with usage guide, and a Formula Reference sheet with variable definitions and model assumptions. All formulas are visible and editable.
Microsoft Excel 2016 or later. The template uses standard Excel formulas only — no macros, VBA, or add-ins required.
Yes. All cells are fully editable. You can modify any formula, add your own calculations, change formatting, or integrate the model into your existing spreadsheets.
The online calculator runs in your browser for quick calculations. This Excel template gives you a portable, offline financial model you can customize, save, share with colleagues, and integrate into your own analysis.
This template is provided for educational and personal use. You may use it in your own professional analysis and presentations. Redistribution or resale of the template itself is not permitted.
You can re-download the latest version from your account or by requesting a new download link. Free downloads are limited to 5 per email address per month.
