Lost in the shuffle last week was this fascinating discussion at Morningstar about a new way to judge and evaluate the relative success of one’s retirement portfolio – not through the traditional lens of alpha and beta…
From Morningstar:
The benefits from “good” financial-planning decisions are difficult to quantify. For any given portfolio, investment decisions generally can be decomposed into two primary components: beta and alpha. Beta can be defined as the systematic risk exposures of the portfolio (usually achieved through asset allocation), and alpha is the residual (skill or luck-based) component associated with the various flavors of active management, such as tactical asset allocation, security selection, and more. Alpha and beta are at the heart of traditional performance analysis; however, their impact on a successful retirement can be far less important than other financial- planning decisions.
In this article, we introduce a concept called “Gamma,” which is designed to measure the additional expected retirement income achieved by an individual investor making intelligent financial-planning decisions. Gamma is the third letter in the Greek alphabet (preceded by alpha and beta), and within financial economics, it is sometimes used as the variable denoting an investor’s degree of risk aversion. Given that Gamma is relatively unclaimed within financial literature, we seek to give it new meaning.
Keep Reading:
Realistic Dildo Review
[…]usually posts some extremely fascinating stuff like this. If you are new to this site[…]
نيك
[…]although web sites we backlink to beneath are considerably not connected to ours, we feel they may be really really worth a go by way of, so have a look[…]
mp3 download
[…]usually posts some pretty interesting stuff like this. If you are new to this site[…]
best remote control sex toy
[…]the time to study or pay a visit to the content material or web pages we’ve linked to below the[…]
What are Ben Wa Balls
[…]always a large fan of linking to bloggers that I like but do not get quite a bit of link enjoy from[…]
sex toys for couples
[…]we like to honor lots of other world-wide-web sites on the net, even when they arent linked to us, by linking to them. Below are some webpages worth checking out[…]
extender sleeve
[…]usually posts some very intriguing stuff like this. If youre new to this site[…]
king cock strap
[…]just beneath, are a lot of totally not related web sites to ours, nevertheless, they may be certainly really worth going over[…]
butterfly kiss vibrator
[…]the time to study or pay a visit to the subject material or web pages we’ve linked to beneath the[…]
Web development company in dehradun
[…]please check out the internet sites we adhere to, such as this one particular, because it represents our picks in the web[…]
bazooka sour straws ejuice
[…]Here are a few of the web-sites we recommend for our visitors[…]
$1 hosting
[…]check below, are some absolutely unrelated websites to ours, nonetheless, they’re most trustworthy sources that we use[…]
Fat Transfer For Buttock
[…]check beneath, are some absolutely unrelated internet websites to ours, having said that, they’re most trustworthy sources that we use[…]
how to tell age of a dog
[…]Sites of interest we have a link to[…]
pc games for windows 10
[…]please stop by the sites we stick to, including this one particular, because it represents our picks in the web[…]