What is my Value at Risk (VaR)?
A risk question asks how much of a portfolio depends on one thing going right — a single position, a sector, a country. Concentration is read as a share of the total, which is what the figures below show.
Worked through on a sample portfolio. The figures below are that portfolio’s, not yours.
You didn't request a specific confidence level or time horizon, so I’ll give the standard VaR metrics Floreo shows: 1-day VaR at 95% and 99%, and 10-day (square-root scaling) equivalents, using your portfolio figures.
| Measure | Value (€) |
|---|---|
| 1‑day VaR (95%) | 1.409,46 € |
| 1‑day VaR (99%) | 2.544,24 € |
| 10‑day VaR (95%) | 4.455,09 € |
| 10‑day VaR (99%) | 8.046,61 € |
What this means: in a single day, with 95% confidence your portfolio would not lose more than 1.409,46 €; with 99% confidence it would not lose more than 2.544,24 €. The 10‑day figures scale those daily risks assuming returns are independent and volatility scales with the square root of time.
This page in other languages
Related questions
See this for your own portfolio
The assistant answers the same question about your own holdings, with your figures and today’s prices. Import from your broker, or open the demo portfolio and ask it there.