Alpha is the additional investment return above market averages. Most actively managed funds underperform passively managed strategies in the long run. Hedge funds and specialized equity ...

A measure like the Sharpe Ratio will help you risk-adjust returns ... in rules-based factors believed to drive returns. Pure alpha investing seeks to generate returns solely based on alpha ...

Learn More Alpha vs. Beta: What's the Difference? What's the Difference Between an Investment’s Sharpe Ratio and its Treynor Ratio? Both ratios exist to try and quantify the risk-adjusted return ...

This ratio is used to analyze the performance of an investment manager. A positive alpha indicates that the fund has managed to perform better than its benchmark. A positive alpha of 1.0 means the ...

The Price to Earnings (P/E) ratio, a key valuation measure, is calculated by dividing the stock's most recent closing price by the sum of the diluted earnings per share from continuing operations ...

Learn more about whether Alpha Metallurgical Resources, Inc. or Materion Corporation is a better investment based on AAII's ...