Information ratio (IR)
0428-en RE430 Financial Market Law As of 11.07.2026
The generation of additional earnings (overperformance, alpha) is divided by the tracking error. The information ratio therefore describes the quality of the overperformance compared to the reference standards. The higher the measure, the better the quality of the fund management.
Deutsch
Information Ratio (IR) 0428-de
Das Erzeugen von Mehrertrag (Überrendite, Alpha) wird im Verhältnis zum Tracking Error gesetzt. Die Information Ratio beschreibt somit die Güte der Überrendite gegenüber dem Referenzmassstab. Je höher die Masszahl, desto besser ist die Qualität des Fondsmanagement.
Suggested citation
Information ratio (IR) (0428-en), in: LAWPEDIA®-Glossar, provided by LAWCONSULT AG, www.lawconsult.ch/lawpedia/en/information-ratio-ir, as of: 11.07.2026 [accessed on …].
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