---
title: "Effective Number of Bets"
method: POST
path: "/portfolios/analysis/effective-number-of-bets"
tags: ["Portfolio Analysis"]
---

# Effective Number of Bets

`POST /portfolios/analysis/effective-number-of-bets`

## Request

- Base URL: `https://api.portfoliooptimizer.io/v1`
- URL: `https://api.portfoliooptimizer.io/v1/portfolios/analysis/effective-number-of-bets`
- Auth: API key in header `X-API-Key`

Compute the effective number of bets of a portfolio.

References
* [Meucci, Attilio and Santangelo, Alberto and Deguest, Romain, Risk Budgeting and Diversification Based on Optimized Uncorrelated Factors (November 10, 2015)](https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2276632)

## Request body

- object
  - `assets` integer, required: The number of assets
  - `assetsCovarianceMatrix` array[], required: assetsCovarianceMatrix[i][j] is the covariance between the asset i and the asset j
    - number[]
  - `factorsComputationMethod` 'principalComponentAnalysis' | 'exactMinimumLinearTorsion' | 'approximateMinimumLinearTorsion': The method used to compute the uncorrelated risk factors from the asset covariance matrix
  - `portfolios` object[], required
    - `assetsWeights` number[], required: assetsWeights[i] is the weight of the asset i in the portfolio, in percentage

## Response `200`

OK

- object
  - `portfolios` object[], required
    - `portfolioEffectiveNumberOfBets` number, required: The effective number of bets of the portfolio

## Changes

- **2026-04-03** `24e65d80f8eb`: 1 info
  - endpoint added

[Operation history](https://skmtc.dev/portfoliooptimizer/apis/portfolio-optimizer/changes/portfolios/analysis/effective-number-of-bets/post.md)

---

[API](https://skmtc.dev/portfoliooptimizer/apis/portfolio-optimizer.md) - [All operations](https://skmtc.dev/portfoliooptimizer/apis/portfolio-optimizer/llms.txt) - [OpenAPI document](https://skmtc.dev/portfoliooptimizer/apis/portfolio-optimizer/revisions/9d075aa717bf?raw)