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 parent firm's five-year risk-adjusted success ratio ... investment as sufficient to promote the strong alignment of their interests with the strategy's investors. A cause for concern at Alpha ...