RiskMetrics - Risk Assessment Tool for Stocks

Understanding RiskGrades

Find out how RiskGradesTM can measure your financial risk with the stock analysis below!

Enter a ticker or list of tickers (comma separated):

Analysis Date: 4/18/2014
Stock chart for NDX, S&P 500, ABMD





About RiskGradesTM:

A New Way to Measure Risk

You don't have to be a professional risk manager to get a complete risk evaluation of your portfolio. Now you can measure the risk of a single asset of your entire portfolio using a powerful tool called RiskGradesTM, created by the RiskMetrics Group.

RiskGrades is calibrated to be more intuitive and easier to use than standard deviation or beta. And because RiskGrades is a standardized measure of volatility, it allows comparison of investment risk across all classes and regions.

RiskGrades captures all the components of market risk: equity, interest rate, currency, and commodity risk.

How Risk Grades Will Help

  • Identify and measure an asset's exposure to risk.
  • Benchmark an asset's risk and return characteristics to hundreds of market indices such as the S&P 500 or the Nasdaq.
  • Estimate your potential loss in extreme market conditions.

Understanding a Risk Grade Chart


This chart shows the historical price of a particular stock lookup request. By viewing this chart in conjunction with the chart below, you can compare the stock's price history to its RiskGrade history.

Note that when the price of this stock dropped in mid-April, its RiskGrade actually increased. The disparity between the RiskGrade history and the stock price history acknowledged actual volatility and potential future volatility.

Understanding how a security's RiskGrade fluctuates over time, you can determine if a stock is currently a higher or lower risk than it has been historically.




About Risk Metrics Group

RiskMetrics Group is a leading provider of risk management and corporate governance products and services to participants in the global financial markets. By bringing transparency, expertise and access to the financial markets, RiskMetrics Group helps investors better understand and manage the risks associated with their financial holdings. Our solutions address a broad spectrum of risk across our clients? financial assets. Headquartered in New York with 19 global offices, RiskMetrics Group serves some of the most prestigious institutions and corporations worldwide. For more information, please visit: www.riskmetrics.com.