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 ...

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, ...

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 ...

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 ...