Alpha and beta are measures used by investors to classify the performance and risk of an investment security or portfolio. Beta is a measure of market risk, and alpha expresses whether the returns of an investment exceed the returns that its beta would predict. What Is Beta In Finance?
What is Alpha Beta grocery store?
Before Alpha Beta was the name of a store, it was the name of a marketing concept used in grocery stores founded by Albert and Hugh Gerrard. It referred to organizing the groceries in the store in alphabetical order. The Gerrards applied this idea to their flagship grocery store, Triangle Grocerteria, in 1915.
What is a high beta stock?
A stock with a beta of 1.5 is a high beta and could return 15%. Measures an asset's performance relative to its benchmark; positive alpha indicates outperformance, negative signals underperformance. What is Alpha? As noted earlier, alpha measures the value a manager adds to a portfolio when adjusting for risk and market returns.
