# Sortino Ratio

Downside risk is what sinks portfolios—**Sortino** focuses exactly there by measuring how efficiently returns beat a target while **only** penalizing the harmful volatility.

Set your target (risk-free or custom), choose simple or log returns, and decide whether to view context via rolling percentiles or classic fixed levels.

The result is a drawdown-aware quality gauge you can compare across assets and regimes.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.candelacharts.com/investing/risk-adjusted-performance/sortino-ratio.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.