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Treynor ratio

Excess return per unit of market sensitivity (beta).

Formula

Treynor = (annualised R_fund − R_f) ÷ β

R_f = 6.5% assumption.

How to read it

Useful for schemes that are part of a diversified portfolio, where market (beta) risk matters more than total volatility.

Limitations

Unstable when beta is close to zero.

Treynor ratio by category today

Spread of treynor ratio across Regular-plan schemes in each category, calculated by MFIC from AMFI NAVs as of 1 Oct 2026. The middle half of schemes falls between the 25th and 75th percentiles.

Category (Regular plans)	Schemes	25th percentile	Median	75th percentile
Large Cap	32	0.01	0.02	0.03
Large & Mid Cap	26	0.05	0.06	0.07
Flexi Cap	36	0.03	0.05	0.08
Multi Cap	23	0.05	0.07	0.08
Mid Cap	29	0.08	0.09	0.10
Small Cap	24	0.06	0.09	0.11
ELSS	38	0.01	0.04	0.05
Focused	27	0.03	0.05	0.07
Value	21	0.03	0.05	0.07

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Related: Beta · Sharpe ratio · Methodology

Disclosure. Educational content. Figures are historical calculations from AMFI NAV data and may differ from other sources because of methodology. Past performance does not guarantee future results. Mutual fund investments are subject to market risks; read all scheme-related documents carefully. Integrato Financial Services Pvt. Ltd. is an AMFI-registered Mutual Fund Distributor (ARN-173155); this page is not investment advice. Questions? Book a consultation.