Alpha measures if a manager's skill, not luck, adds investment value beyond market returns. Understanding alpha helps investors avoid paying for market risk (beta) that can be managed independently.

Jensen's Alpha measures whether an asset outperforms, underperforms, or matches its benchmark. Positive alpha indicates superior performance; negative alpha suggests underperformance. Calculate alpha ...

I was at a private equity conference last week focused on issues of interest to Limited Partners. One of the things that struck me was several Limited Partners who described investing in private ...

You might hear experienced investors talk about alpha, one of the five risk ratios of technical investment. It’s common when discussing the performance of a security against the market. Investors ...

Alpha and beta are two terms that get thrown around a lot in investing. They sound complicated, but they’re actually much simpler than they seem. Here’s what you need to know about alpha and beta in ...