Discover how to evaluate risk in investments using Sharpe, Treynor ratios, alpha, and beta for better portfolio performance compared to risk-free benchmarks.

Expertise from Forbes Councils members, operated under license. Opinions expressed are those of the author. 2. See Rule 1. Easier said than done. Or is it? I believe it's possible to systematically ...

Hedge funds throw away half of their potential returns by not explicitly calculating risk-adjusted return. After working for a fund and having numerous conversations with hedge and mutual fund ...

Discover iShares U.S. Small-Cap Equity Factor ETF: small-cap exposure with low volatility, solid Sharpe ratio and dividend ...

Discover why Invesco VRP ETF stands out for passive preferred stock investors—offering strong returns, low volatility, and ...

Our research finds a relationship between funds' long-term risk-adjusted performance and the extent to which investors capture the returns their fund investments generate. Specifically, we find that ...

High-return investments are appealing, but high-risk-adjusted-return investments are even more valuable. While risk can be challenging to measure, investors often use volatility as a proxy. In this ...

Why settle for low returns on your nest egg when you can earn higher returns for about the same level of risk?

Bitcoin is so volatile that its risk-adjusted return may have been as low as 3.1% in 2017, according to an analysis by Mizuho, an Asian investment bank. The risk-adjusted return of stocks in the same ...

Vanguard NJ Long-Term Tax-Exempt Fund earns a High Process Pillar rating. The largest contributor to the rating is its parent firm's impressive long-term risk-adjusted performance, as shown by the ...

Discover what abnormal returns are, why they occur, and see examples. Learn how to calculate them and their impact on risk-adjusted performance and investment strategies.