Alpha Generator


Alpha Generator
Any security that, when added to an existing portfolio of assets, generates excess returns or returns higher than a pre-selected benchmark without additional risk. An alpha generator can be any security; this includes government bonds, foreign stocks, or derivative products such as stock options and futures.

Keep in mind that alpha itself measures the returns a portfolio produces in excess of the return originally estimated by the capital asset pricing model, on a risk-adjusted basis. Therefore, an alpha generator adds to portfolio returns without adding any additional risk, as measured by volatility or downside volatility. This follows modern portfolio theory in allowing investors to maximize returns while keeping a certain level of risk.


Investment dictionary. . 2012.

Look at other dictionaries:

  • Alpha 5 — was a fictional robot on the Mighty Morphin Power Rangers television series. On Alpha s chest is a yellow stylized lightning bolt similar to the Power Rangers lightning bolt symbol, but inverted. His head is in the shape of a golden flying saucer …   Wikipedia

  • Alpha 21064 — The 21064 microprocessor The 21064 microprocessor m …   Wikipedia

  • Alpha decay — 2 less. For example:(The second form is preferred because the first form appears electrically unbalanced. Fundamentally, the recoiling nucleus is very quickly stripped of two electrons to neutralize the ionized helium cation.)An alpha particle is …   Wikipedia

  • Thermionischer Generator — Eine Radionuklidbatterie, auch Radioisotopengenerator oder Atombatterie genannt, wandelt thermische Energie des spontanen Kernzerfalls eines Radionuklides in elektrische Energie um. Sie gewinnt ihre Energie aus radioaktivem Zerfall und nicht aus… …   Deutsch Wikipedia

  • Radioisotope thermoelectric generator — A radioisotope thermoelectric generator (RTG, RITEG) is an electrical generator which obtains its power from radioactive decay. In such a device, the heat released by the decay of a suitable radioactive material is converted into electricity by… …   Wikipedia

  • Sid Meier's Alpha Centauri — SMAC redirects here. For other uses, see SMAC (disambiguation). Sid Meier s Alpha Centauri Sid Meier s Alien Crossfire …   Wikipedia

  • NZ-333 Alpha Azieru — The NZ 333 α Azieru (Alpha Azieru) is an extremely powerful mobile armor in the anime movie Char s Counterattack.The α Azieru is an experimental mobile armor developed by the Neo Zeon Newtype Research Labs and for its time it is one of the… …   Wikipedia

  • Character generator — This article is about video technology. For hardware character generators in computing context, see text mode. For the Internet service, see Character Generator Protocol. An Aston Ethos hardware character generator A character generator, often… …   Wikipedia

  • Roland Alpha Juno — Infobox synthesizer image caption = synth name = Roland Alpha Juno synth manufacturer = Roland synthesis type = Analog Subtractive polyphony = 6 voices timbrality = Monotimbral oscillator = effectively 3 DCOs per voice (pulse, saw, square and… …   Wikipedia

  • Neutron generator — Neutron generators are neutron source devices which contain compact linear accelerators and that produce neutrons by fusing isotopes of hydrogen together. The fusion reactions take place in these devices by accelerating either deuterium, tritium …   Wikipedia