Advertising

Alpha equation

• The alpha of a fund is determined as follows: [ (sum of y) -((b)(sum of x)) ] / n where: n =number of observations (36 months) b = beta of the fund x = rate of return for the S&P 500 y = rate of return for the fund

 
 Embedded terms in definition
 Alpha
Beta
N
Rate of return
Return
S&p 500
S&p
X
 
 Related Terms
 Accounting equation
Alpha
Beta equation mutual funds
Beta equation stocks
Regression equation

<< Alpha Alternative investments >>

How to Ace Your First Test Managing Real Money in the Real World: As a teen, you're beginning to make some grown-up decisions about how to save and spend your money. That's why learning the right ways to manage money…right from the start…is important. Here are suggestions. More...

It is not good enough to have a good mind; the main thing is to use it well. - Rene Descartes

Advertising



Copyright ©2009-2017 GVC. All rights reserved.