Alpha vs. Beta Alpha vs. beta. Before getting into the formulas, consider the following scenario: You invest in a fund manager who tends to buy many stocks that can be volatile against the market ...

Alpha and beta are two different parts of an equation used to explain the performance of stocks and investment funds. Beta is a measure of volatility relative to a benchmark, such as the S&P 500.

For example, a U.S. stock with a beta of 1.5 has historically been 50 percent more volatile than the S&P 500. Alpha The mathematical formula for calculating alpha is the following: ...

Alpha = 0.018 or 1.8%. The mutual fund outperformed its benchmark index by 1.8%, so it has an alpha of 1.8. How Does Alpha Work with Beta? What Is Considered “Good” Alpha?

2025 marks the end of Generation Alpha and the start of Generation Beta, a cohort that will include all individuals born between 2025 and 2039. After Gen Z, meet Gen Alpha. What to know about the ...

For example, if a fund has a beta of 1.2, it means that when the market moves up or down by 1%, the fund is likely to move up or down by 1.2%. Beta helps investors understand the level of risk ...

For example, Johnson & Johnson has a beta of 0.7, meaning that it is less volatile than the overall market, while Amazon.com has a beta of 1.6, indicating that investors should expect higher ...

QUAL has lagged the S&P 500, with weak momentum, tech concentration, and a stretched 24.2x P/E valuation limiting upside. See ...

For example, a mutual fund might ... Price charts that plot R-squared values are useful to help investors see the ... The alpha and beta of assets with R-squared figures below 50 are thought to be ...

C418 is No. 1 on the Emerging Artists chart thanks to the 'Minecraft: Volume Alpha' soundtrack. Get the details.