Silver Spike Treynor Ratio
The Treynor Ratio indicator for Silver Spike is constructed from normalized market data. Related indicator context is organized within
Equity Screeners.
Silver Spike has a market cap of 367.28 M, current ratio of 0.38. Review
World Market Map for broader portfolio context. Broader economic conditions can influence Silver Spike Acquisition's company valuation — related indicators include
signals in industry.
Silver Spike Acquisition has current Treynor Ratio of 0. The Treynor is the reward-to-volatility ratio that expresses the excess return to the beta of the equity or portfolio. It is similar to the Sharpe ratio, but instead of using volatility in the denominator, it uses the beta of equity or portfolio. Therefore, the Treynor Ratio is calculated as [(Portfolio return - Risk-free return)/Beta].
Treynor Ratio | = | ER[a] - RFRBETA |
| = | 0 | |
| ER[a] | = | Expected return on investing in Silver Spike |
| BETA | = | Beta coefficient between Silver Spike and the market |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
Treynor Ratio Peers Comparison
Treynor Ratio Relative To Other Indicators
Silver Spike Acquisition is rated
below average in treynor ratio among leading competitors. It is currently under evaluation in maximum drawdown among leading competitors .
This ratio was developed by Jack Treynor to measure how well an investment has compensated its investors given its level of risk. The Treynor ratio relies on beta, which measures an investment sensitivity to market movements, to gauge risk. The premise underlying the Treynor ratio is that systematic risk--the kind of risk that is inherent to the entire market (represented by beta)--should be penalized because it cannot be diversified away.