Finance · Stock Market
In the stock market, what does the 'Alpha factor' represent?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1The current price of the share
- 2The volume of shares traded
- 3The excess return of an investment relative to the return of a benchmark index✓
- 4The dividend yield of the share
Correct answer
The excess return of an investment relative to the return of a benchmark index
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