How-to: Company Pages
How to: Discovery
How-to: Portfolio Holdings
How to: Activity
How to: Leaderboard
How to: Performance
How to: Challenges
How to Trade
How to: use EquitySim to improve your recruitment potential
Fixing Account Errors
My Trade is not being processed
An investment in my portfolio is showing up as $0
Stock splits, mergers + acquisitions
I can't find a specific investment
I can't sign-up
My credit card is being declined
Showcasing your work on EquitySim
Designing a stand-out resume
Preparing for the S+T interview
STAR Structure for Behavioural Interview Questions
Interview Practice - Partner Exercise
2021 Credit-Suisse Investment Challenge
Case Study: 2019 Credit-Suisse Results
What is a Stock?
How to Choose a Stock
Active Trading vs Portfolio Management
How to start testing multiple strategies
What is an ETF?
How to Choose ETFs
What is short selling?
What is a Bond?
What is an Option?
What is Portfolio Management Strategy?
What is Diversification?
What is the Diversification Score?
How to Build a Basic ETF Portfolio
What are asset-classes?
What is Industry Exposure?
What is Geopolitical Exposure?
How to read impact on diversification
What is Volatility?
What is Return?
What is Sharpe Ratio?
How to Improve Sharpe Ratio
How do I measure risk?
What are average excess returns?
What is a good Sharpe Ratio?
Host your own EquitySim Challenge
Can users share an account?
How do I export classroom data?
How do I delete, archive and edit my class?
Challenge Setting Types
How does EquitySim compare to other simulations?
What are Trading Strategies?
What are some basic Financial Vocabulary?
Recording your Strategies and Rationales
What is EquitySim?
Can I undo a trade?
How are prices determined in the simulation?
Why didn't my trade execute immediately?
How do I exchange currency?
Why isn't my ranking showing up?
What are Public Portfolios?
How do I switch between portfolios?
How am I Graded?
Does EquitySim have sample assignments for my curriculum?
How are Options priced in the simulation?
How do I find my daily portfolio change?
How do the Portfolio Emails Work?
Is my data confidential?
How do I delete my account?
How our simulations reflect the real-world
What can I trade on EquitySim?
What is a good rationale?
How to set-up your team
What are the different order types?
Which government bonds can I trade?
Updated by Justin Ling
The Sharpe Ratio score uses average excess returns to calculate your profit performance.
Total return displayed on your portfolio page calculates the total profit you have generated since the inception of your portfolio.
Average return, used in Sharpe Ratio and found in your performance page is your average daily returns.
Each day we record your portfolio value, the change from the day before is recorded as that day's "daily return." The average of all your daily returns is your average daily return.
Day 1 Returns: -2%
Day 2 Returns: 5%
Day 3 Returns: 7%
Day 4 Returns: -5%
Day 5 Returns: 3%
Your average return for these 5 days would be = 2%.
Risk-Free Rate & Excess Returns
The risk-free rate of return is the theoretical rate of return of an investment with zero risk.
In practice, the interest rate on a three-month U.S. Treasury bill is used as a proxy for the risk-free rate.
The Return you generate on top of the Risk-free rate is known as "Excess returns."
In the Sharpe Ratio calculation, we subtract the average daily US Treasury bill's return from your average daily return. The result is your average daily excess return.