How do we define a stocks alpha, and what is its interpretation?

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How do we define a stock’s alpha, and what is its interpretation?

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Corporate Finance

ISBN: 9780132992473

3rd Edition

Authors: Jonathan Berk, Peter DeMarzo

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Question Posted: Mar 07, 2024 01:00 AM

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How do we define a stocks alpha, and what is its interpretation?

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In the world of investments a stocks alpha is a measure of its performance relative to a benchmark typically a market index like the SP 500 It essenti...View the full answer

Corporate Finance

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