Open a free Demat account & get ₹500 in stocks.Claim
अ
ArthVani
Nifty 5024,276.70.28%H 24,297.45 · L 24,265.5|Sensex77,472.940.24%H 77,986.84 · L 77,472.94|Bank Nifty57,884.150.17%H 58,012.4 · L 57,859.35|USD / INR₹95.420.02%H ₹95.47 · L ₹95.4|Gold Intl (10g)₹1,43,812.660.74%H ₹1,44,104.09 · L ₹1,42,591.7|Silver Intl (1kg)₹2,12,364.411.76%H ₹2,13,361.43 · L ₹2,08,882.52|Crude WTI₹7,802.290.56%H ₹7,840.46 · L ₹7,775.57|Bitcoin₹75,27,9040.03%H ₹75,29,106.62 · L ₹75,26,701.38|Ethereum₹2,37,8931.39%H ₹2,39,543.16 · L ₹2,36,242.84|Nifty 5024,276.70.28%H 24,297.45 · L 24,265.5|Sensex77,472.940.24%H 77,986.84 · L 77,472.94|Bank Nifty57,884.150.17%H 58,012.4 · L 57,859.35|USD / INR₹95.420.02%H ₹95.47 · L ₹95.4|Gold Intl (10g)₹1,43,812.660.74%H ₹1,44,104.09 · L ₹1,42,591.7|Silver Intl (1kg)₹2,12,364.411.76%H ₹2,13,361.43 · L ₹2,08,882.52|Crude WTI₹7,802.290.56%H ₹7,840.46 · L ₹7,775.57|Bitcoin₹75,27,9040.03%H ₹75,29,106.62 · L ₹75,26,701.38|Ethereum₹2,37,8931.39%H ₹2,39,543.16 · L ₹2,36,242.84|
Breakingकिरकोळ गुंतवणूकदार IPO बाजारात निवडक होत आहेत1/4

Alpha

The excess return a fund earns over its benchmark.

Definition

Alpha measures how much a fund or portfolio has outperformed (positive alpha) or underperformed (negative alpha) its benchmark index, after adjusting for risk. It reflects the value added by the fund manager's decisions.

Example

If a fund returns 15% while its benchmark returns 12%, it has generated roughly 3% of alpha.

Compare funds

Frequently asked questions

Related terms

BetaCAGRTER
Browse the full financial glossary. Educational only — not investment advice.