Definition
Alpha represents the value that a portfolio manager adds or subtracts from a fund's return beyond what would be expected based on the fund's beta. Positive alpha indicates the investment outperformed the market; negative alpha indicates underperformance.
Formula
阿尔法 = 实际收益 - [无风险利率 + 贝塔 × (市场收益 - 无风险利率)]
Example
If a fund returned 12% when the expected return based on its beta was 10%, the alpha would be 2%.
FAQ
What is Alpha?
The excess return of an investment relative to a benchmark index.
How do you calculate Alpha?
A common formula for Alpha is: 阿尔法 = 实际收益 - [无风险利率 + 贝塔 × (市场收益 - 无风险利率)]
Why is Alpha important?
Alpha helps investors evaluate performance and make more informed decisions.