GlossarySynthetic risk and reward indicatorUCITS risk indicatorRisk and reward profile

SRRI (synthetic risk and reward indicator, UCITS)

The SRRI is the 1–7 risk score in a UCITS KIID, assigned purely from the fund's five-year annualised volatility using fixed buckets; it preceded the PRIIPs SRI.

The synthetic risk and reward indicator (SRRI) is the risk score, from 1 to 7, shown in the "Risk and reward profile" section of a UCITS KIID. It is calculated from the annualised volatility of the fund's weekly (or monthly) returns over the past five years and mapped to fixed buckets: roughly below 0.5% for class 1, 0.5–2% for class 2, 2–5% for class 3, 5–10% for class 4, 10–15% for class 5, 15–25% for class 6 and above 25% for class 7. Funds with less than five years of history use benchmark or proxy data to fill the gap.

The SRRI is purely volatility-based; it does not consider credit risk, liquidity or the recommended holding period.

Why it matters

From 2011 to the end of 2022 the SRRI was the risk number every European UCITS investor saw, and it remains in use in UK UCITS KIIDs and older documents. EU funds now publish a PRIIPs KID with an SRI instead, whose market risk buckets differ and which adds a credit risk component. A fund that was SRRI 6 may be SRI 4 or 5 today without any change in its portfolio, so risk filters must know which scale each document uses.

In the API

The risk score in the fund's current key information document is returned as riskRating with a one-word band.

json
{
  "riskRating": 6,
  "profile": {
    "riskBand": "high"
  },
  "headlineMetrics": { "volatility3y": 17.8 }
}

Example values. The same field holds the SRI where the fund publishes a PRIIPs KID.

Common pitfalls

Do not recompute an SRRI from three-year volatility; the regulatory method uses five years.
Boundary funds flip between classes as volatility drifts. The KIID must be updated when the score changes for a sustained period, so document dates matter.