Enter the total short fee ($) and the total insurance value ($) into the Short Rate Calculator. The calculator will evaluate the Short Rate. 

Short Rate Formula

The following two example problems outline the steps and information needed to calculate the Short Rate.

SHO = SF / IV * 100

  • Where SHO is the Short Rate (%)
  • SF is the total short fee ($) 
  • IV is the total insurance value ($) 

How to Calculate Short Rate?

The following example problems outline how to calculate Short Rate.

Example Problem #1:

  1. First, determine the total short fee ($). 
    • The total short fee ($) is given as: 500.
  2. Next, determine the total insurance value ($). 
    • The total insurance value ($) is provided as: 10,000.
  3. Finally, calculate the Short Rate using the equation above: 

SHO = SF / IV * 100

The values provided above are inserted into the equation below and computed.

SHO = 500 / 10,000 * 100 = 5.00 (%)


Example Problem #2: 

For this problem, the variables required are provided below:

total short fee ($) = 600

total insurance value ($) = 5,000

Test your knowledge using the equation and check your answer with the calculator..

SHO = SF / IV * 100 = ?