Riskikorjatun

Riskikorjatun is a Finnish term used as an adjective to describe metrics that have been adjusted to account for risk. In Finnish finance and economics, phrases such as riskikorjatun tuoton (risk-adjusted return) or riskikorjatun arvion (risk-adjusted assessment) are common. The concept mirrors international practice of evaluating performance after accounting for risk, rather than on raw return alone.

To compute risk-adjusted figures, analysts apply risk measures such as standard deviation, beta, or downside risk, and then compare with benchmarks. Common risk-adjusted performance measures in Finnish texts include the Sharpe-suhde (Sharpe ratio), Sortino-suhde, and Treynor-suhde. Risk-adjusted metrics are particularly useful when comparing investments with different risk profiles, such as stocks versus bonds, or active funds versus passive indices.

Caveats: the term is dependent on the chosen risk metric, and no single metric fully captures risk. The use of riskikorjatun is a grammatical modifier rather than a technical standard. In Finnish literature you may encounter riskikorjattu tuotto, riskikorjattu arvio, or riskikorjattu suorituskyky. Overall, riskikorjatun descriptors function to indicate that a metric has been adjusted to reflect risk, aiding cross-asset comparisons while highlighting the influence of assumed risk on measured performance.