6 Key Ratios to Analyze MUTUAL FUNDS - Ratio Analysis

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While understanding risk tolerance, investment horizon and financial goals are essential before choosing mutual funds to invest in, there are certain financial ratios that can help investors in picking the best funds, based on their profile.

There are 6 key ratios of investment risk and return that we can apply to the analysis of stocks, bonds, and mutual fund portfolios. These metrics are comparable across different mutual funds and can help you in choosing the right mutual fund with the best risk-adjusted returns.

1. Expense Ratio
2. Sharpe Ratio
3. Treynor Ratio
4. Jensens Alpha
5. Capture Ratio
6. Information Ratio

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I've taken a RECEIPT from all the facts I've seen.

peterrealar.