{"uid":"cap_8ghqkDmm1hr5j8GtXS6yH","slug":"api-quantoracle-dev-39c38b2e","name":"QuantOracle Risk-Parity Portfolio Weights","description":"Free, fast quant finance calculators powered by a deterministic, multi-chain API. Black-Scholes, options profit, Kelly, VaR, crypto liquidation, and more.","url":"https://api.quantoracle.dev/v1/portfolio/risk-parity-weights?utm_source=zero.xyz","method":"POST","headers":{},"bodySchema":{"type":"object","properties":{"asset_names":{"anyOf":[{"type":"array","items":{"type":"string"}},{"type":"null"}],"title":"Asset Names","description":"Optional asset name labels"},"risk_budget":{"anyOf":[{"type":"array","items":{"type":"number"}},{"type":"null"}],"title":"Risk Budget","description":"Optional risk budget weights (default: equal)"},"volatilities":{"type":"array","items":{"type":"number"},"title":"Volatilities","description":"Array of annualized volatilities per asset"},"correlation_matrix":{"type":"array","items":{"type":"array","items":{"type":"number"}},"title":"Correlation Matrix","description":"N x N correlation matrix"}}},"responseSchema":null,"example":{"request":{"asset_names":["Stocks","Bonds","Gold"],"volatilities":[0.12,0.18,0.08],"correlation_matrix":[[1,0.4,0.2],[0.4,1,0.3],[0.2,0.3,1]]},"response":{"ms":13.01,"_meta":{"url":"https://quantoracle.dev","docs":"https://api.quantoracle.dev/docs","powered_by":"QuantOracle"},"weights":{"Gold":0.4883,"Bonds":0.1989,"Stocks":0.3127},"effective_n":3,"risk_contributions":{"Gold":0.3333,"Bonds":0.3333,"Stocks":0.3333},"portfolio_volatility":0.082,"diversification_ratio":1.3714}},"exampleRequest":{"asset_names":["Stocks","Bonds","Gold"],"volatilities":[0.12,0.18,0.08],"correlation_matrix":[[1,0.4,0.2],[0.4,1,0.3],[0.2,0.3,1]]},"tags":["x402"],"displayCostAmount":"0.008","displayCostAsset":"USDC","priceDynamic":false,"priceHint":null,"priceStatus":"priced","priceSource":"probe","requiresHandshake":false,"reviewCount":0,"rating":{"score":"0.00","successRate":"0.00","reviews":0,"stars":null,"state":"unrated"},"availabilityStatus":"unknown","priceObserved":null,"sessionDeposit":null,"pricing":{"kind":"static","summary":"$0.008/call","primary":{"kind":"static","protocol":"x402","network":"base","amountUsd":"0.008","per":"call","confidence":"exact"},"accepted":[{"kind":"static","protocol":"x402","network":"base","amountUsd":"0.008","per":"call","confidence":"exact"}]},"paymentMethods":[{"uid":"pm_K4UvnAy6wBcGT9i4O-a_S","protocol":"x402","methodType":"crypto","chain":"base","mode":"charge","costAmount":"0.008","costPer":"request","priority":0,"asset":"0x833589fCD6eDb6E08f4c7C32D4f71b54bdA02913","unit":"request","depositMicros":null,"planRef":null}],"brandName":null,"brandSlug":null,"brandBaseUrl":null,"brandDocsUrl":null,"whatItDoes":"Computes risk-parity portfolio weights given asset volatilities and a correlation matrix, equalizing each asset's risk contribution","exampleAgentPrompt":"Calculate risk-parity weights for my three-asset portfolio — Stocks with 12% volatility, Bonds with 18% volatility, and Gold with 8% volatility — where Stocks and Bonds have 0.4 correlation, Stocks and Gold 0.2, and Bonds and Gold 0.3.","exampleUseCases":null,"resultDescription":"Returns per-asset portfolio weights (e.g. Gold: 0.49, Stocks: 0.31, Bonds: 0.20), each asset's risk contribution (equalized to 1/N in true risk parity), total portfolio volatility, effective N (number of effective assets), and the diversification ratio indicating how much diversification benefit is achieved. Response time is typically under 20ms.","failureModes":["Malformed or non-positive-definite correlation matrix returns a 4xx error","Mismatch between number of asset names, volatilities, and correlation matrix dimensions causes validation error","Zero or negative volatility values may cause computation failure","Very high correlations close to 1.0 across all assets may produce near-uniform weights or numeric instability"],"whenToPreferThis":"Use this endpoint when you need a principled, volatility-equalized asset allocation across multiple assets without specifying expected returns — ideal for risk-parity strategies, alternative to mean-variance optimization when return estimates are unreliable. Prefer over manual weight calculation when you have a correlation matrix and want each asset to contribute equally to total portfolio risk.","instructions":null,"reviewSummary":null,"reviewSummaryHighlights":null,"reviewSummaryConcerns":null,"reviewSummaryGeneratedAt":null,"activationCount":0,"lastUsedAt":null,"lastSuccessfullyRanAt":null,"lastHealthCheckAt":"2026-10-12T00:36:04.293Z","isFirstParty":false,"canonicalSlug":"api-quantoracle-dev-39c38b2e"}