Value at Risk (VaR) Calculator
Potential loss at a chosen confidence level
🔒 Local only · Method · · Disclaimer · Value at Risk (VaR) Calculator
Value at Risk (VaR) Calculator turns the numbers behind potential loss at a chosen confidence level into a result, step by step. Fill in Portfolio Value ($), Daily Volatility (%) and Z-Score (2.33 = 99%) on Value at Risk (VaR) and read your answer immediately. In Value at Risk (VaR) the working sits beside the answer. Value at Risk (VaR) works for one check or many. You can disconnect once Value at Risk (VaR) has loaded; the arithmetic runs locally. Value at Risk (VaR) handles value at risk calculator var parametric portfolio loss confidence the same way as free online value at risk (var) calculator — one of the Finance tools on CalcProMaster. No sign-up or email — Value at Risk (VaR) answers as you type.
What does the Value at Risk (VaR) Calculator do?
Value at Risk (VaR) Calculator works out the var (1-day) from the Portfolio Value, Daily Volatility, and Z-Score, using Finance conventions. With the defaults, value at risk (var) calculator gives a result of $4660.
- Inputs: Portfolio Value, Daily Volatility, and Z-Score.
- Output: the var (1-day), together with the chain that produced it.
- Method: the published Finance relationship between the Portfolio Value, Daily Volatility, and Z-Score and the var (1-day).
Quick answer
value at risk (var) calculator returns a result of $4660 with the default inputs (portfolio value of 100,000, daily volatility of 2, z-score of 2.33).
How does the Value at Risk (VaR) Calculator work?
Value at Risk (VaR) Calculator computes the var (1-day) directly from your inputs — the Portfolio Value, Daily Volatility, and Z-Score feed the formula. Your numbers stay in the tab and the var (1-day) recalculates the moment a field changes.
How the Value at Risk (VaR) Calculator works
Set the Portfolio Value, Daily Volatility, and Z-Score on Value at Risk (VaR) Calculator to your own case and the figure re-derives from scratch — no stored state and no cached figure from an earlier run.
Using the Value at Risk (VaR) Calculator
- Portfolio Value — entered on value at risk (var) as a plain number in the labelled unit — nothing converted behind it.
- Daily Volatility — independent among the value at risk (var) fields — changing it alone moves the output.
- Z-Score — used once on value at risk (var), and worth a second glance if the result looks off.
- The value at risk (var) output separates the headline answer from the supporting figures, so you can read the output without losing the context around it.
- Test the upper end of the plausible range on Value at Risk (VaR) Calculator first; if the result stops making sense there, the Portfolio Value, Daily Volatility, and Z-Score need another look.
The formula behind the result
The substitution on Value at Risk (VaR) Calculator is literal: the digits you typed replace the symbols, and the var (1-day) is whatever the Finance expression evaluates to.
Worked example: with portfolio value of 100,000, daily volatility of 2, z-score of 2.33, this value at risk (var) calculation returns VaR (1-day): $4660. The same run reports At the 99% confidence level, daily losses should not exceed $4660 more than 1% of the time — parametric (normal).
The steps it follows:
- Formula: VaR = Value × σ × z × √days
- Daily $ move at z = $100,000 × 0.02 × 2.33 = $4660.00
- Scale by √1 = 1.000 → $4660.00
- The parametric method assumes normal returns; fat-tailed markets understate VaR
Understanding the result
If two output figures appear on the value at risk (var) page, read the labels rather than assuming the bigger one is the headline.
Where it helps
Value at Risk (VaR) Calculator earns its place in the Finance toolkit wherever the output has to be explained, not just produced.
Common mistakes
Pasting a figure with a thousands separator or a currency symbol into Value at Risk (VaR) Calculator is only harmless when the field expects it, so check the Portfolio Value, Daily Volatility, and Z-Score first.
Tip: Value at Risk (VaR) Calculator returns VaR (1-day): $4660 at its defaults; double the Portfolio Value ($) and it returns VaR (1-day): $9320.
Assumptions and limitations
The value at risk (var) calculation does not forecast: the result describes the inputs in front of you, and it will not hold if those inputs drift after you leave the page.
Why use this calculator
Because the Finance convention is named on the page, Value at Risk (VaR) Calculator settles arguments about which method produced the var (1-day).
Frequently Asked Questions
Which figure does value at risk (var) calculator produce?
Value at Risk (VaR) Calculator is the page for the moment a output stops being a guess: enter the real Portfolio Value, Daily Volatility, and Z-Score and follow the working down to the last operation. Because the same Value at Risk (VaR) Calculator serves a first-timer and a reviewer — one reads the figure, the other reads the derivation, and both are on one screen.
What calculation does the page perform?
The first steps are formula: var = value × σ × z × √days, then daily $ move at z = $100,000 × 0.02 × 2.33 = $4660.00. Nothing in the value at risk (var) engine memorises a previous answer — the formula re-evaluates the whole chain each time the Portfolio Value, Daily Volatility, and Z-Score change.
Which fields does the Value at Risk (VaR) Calculator need?
Value at Risk (VaR) Calculator asks for Portfolio Value, Daily Volatility, and Z-Score and nothing more.
If the Portfolio Value ($) doubles, what follows?
At the defaults Value at Risk (VaR) Calculator returns VaR (1-day): $4660; doubling Portfolio Value ($) to 200,000 moves it to VaR (1-day): $9320.
How should the the Value at Risk (VaR) Calculator result be read?
The main number the value at risk (var) calculator returns is the var (1-day) for your exact inputs. A result from Value at Risk (VaR) Calculator is arithmetic, not advice; where a contract, a clinician, or an authority sets a rule, that rule overrides the figure.
Where does the Value at Risk (VaR) Calculator fit in day-to-day work?
The value at risk (var) page comes up most for settling a question you keep coming back to, holding everything else equal while one value moves, and checking that a quoted total adds up — the recurring cases where a rough mental estimate tends to be off by enough to matter. Compare Value at Risk (VaR) Calculator against a figure you already trust once, and you will know which inputs to watch on every later run.
Quarterly Estimated Tax Calculator and other Finance tools
Quarterly Estimated Tax Calculator · Required Minimum Distribution Calculator · Roommate Rent Split Calculator · Escrow Payment Calculator · Property Appreciation Calculator · Hajj Cost Calculator · Finance Guides