Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Andy Smith is a Certified Financial Planner ...
When investing, it can be jarring to expect one thing, and for something completely different to happen. Specifically, when your investment shows an abnormal return. What is an abnormal return? As the ...
You know what’s really awesome? Watching founders pitch on the TechCrunch Disrupt stage as part of Startup Battlefield 200. The pitches are world class, and the founders do such a good job, even as ...
Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Cumulative return represents the total gain or loss of an investment over a ...
This paper investigates the impact of abnormal returns on stock prices by using daily and hourly data for some developed markets (United States, United Kingdom and Japan) and emerging markets (China ...
In this article, we'll go through: 1. What a cumulative return is and how to calculate it. 2. What the annualized return is, why it comes in handy, and how to calculate it. What is a cumulative return ...
Abnormal returns indicate unexpected profit levels which signal potential issues or successes. Investigating abnormal returns helps gauge the reliability of an investment. Unlike excess returns, ...
What is an Abnormal Return? This is the difference of the actual return from the Expected Rate of Return (ROR) in an investment portfolio. Since they're not due to market-wide systemic influences, ...
Abnormal returns — also popularly known as ‘alpha returns’ or ‘excess returns’ — are unexpected returns from a security or a portfolio, that are not congruent with market returns. Instead, it is the ...