> For the complete documentation index, see [llms.txt](https://excelhelp.windhamlabs.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://excelhelp.windhamlabs.com/functions/risk-models/portfoliorisk.md).

# PORTFOLIORISK

## Description

Portfolio risk is simply a vector product of asset weights and the covariance matrix. Compute portfolio risk conviniently without having to nest complex array formulas in Microsoft Excel.

## Syntax

The following describes the function signature for use in Microsoft Excel's formula bar.

```excel-formula
=PORTFOLIORISK(weights, sigma, rho)
```

### Input(s)

| Argument    | Description                                                                                 |
| ----------- | ------------------------------------------------------------------------------------------- |
| **weights** | Vector of weights                                                                           |
| **sigma**   | Vector of risk estimates (or covariance matrix)                                             |
| **rho**     | Correlation matrix. You do not need to specify **rho** if **sigma** is a covariance matrix. |

### Output(s)

Portfolio risk estimate.

## Example