1 Answer
An alpha is the first alphabet in the Greek language.
An Alpha is what your portfolio or mutual fund manager can do to provide value for his service vs the broad market or any measurable index. Therefore, the higher the alpha, the more value your manager provides for you. An example would be: a portfolio that outperforms the market while taking less than market risk.
Beta is the movement of your portfolio vs. the movement of the index. If the S&P index is 1.0 and your beta is 1.1, then your portfolio is 10% more volatile than the market. Hence, you'd expect to outperform the market by 10% since you're taking 10% more risk.
Are you confused yet?
| 15 years ago. Rating: 0 | |
Top contributors in Languages category
Unanswered Questions
Fifty Bar Vape Site
Answers: 0
Views: 6
Rating: 0
Vape Austria
Answers: 0
Views: 12
Rating: 0
Kèo Nhà Cái - Keonhacai5.Cool | Trang Chuyên Tỷ Lệ Kèo, Soi Kèo Nhà Cái Chuẩn Nhất 2026
Answers: 0
Views: 11
Rating: 0
11ccitcomz
Answers: 0
Views: 12
Rating: 0
98winseocom
Answers: 0
Views: 16
Rating: 0
phimmoiemail
Answers: 0
Views: 16
Rating: 0
Jeffbet Casino
Answers: 0
Views: 12
Rating: 0
33WIN
> More questions...
Answers: 0
Views: 17
Rating: 0
forrest gump
Chiangmai