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Alpha measures a manager's skill in adding value to a portfolio beyond market gains. Beta assesses how a stock or fund's volatility compares to the market average. High alpha and low beta indicate ...
Together, these statistical measurements help investors evaluate the performance of a stock, fund, or investment portfolio. Here's a closer look at alpha and beta—and how you can use these ...
Alpha and beta are two statistical measurements used ... Alpha is a measure used in investing to determine whether an asset (such as a stock or mutual fund) outperformed a comparable benchmark ...
Stock "beta" is a statistical measure that compares the volatility of returns on a specific stock to those of the market as a whole. It is an important indicator of the risk and opportunity of an ...
alpha and beta can seem very mysterious to new traders. In reality, the two terms represent relatively straightforward ideas. Beta is simply a measure of the relative volatility of a stock.
Alpha and beta are crucial metrics for mutual fund investors, indicating performance and risk relative to a benchmark.