Alpha vs. beta in investing: What’s the difference?
While the terms sound complex, they’re really just ways to measure risk and return.
Brian Baker, CFA, covered investing and retirement for Bankrate. He previously worked in equity research at Diamond Hill Capital Management and is a CFA Charterholder. His work has appeared online in various publications including MarketWatch, Fortune, the Omaha World-Herald, the Minneapolis Star Tribune, The Detroit News, MSN and Yahoo Finance. He also serves on the Investment Task Force for the Society for Advancing Business Editing and Writing.
Prior to joining Bankrate, he covered mergers and acquisitions for MLex Market Insight in Washington, D.C. Baker is passionate about helping people make sense of complicated financial topics so that they can better plan for their financial futures.
Readers can rely on his articles to learn more about a variety of investing topics such as how to start investing, investing through mutual funds, when to sell a stock and how investors can manage their emotions.
Baker’s passion for investing developed in college after reading about the success of long-term investors like Warren Buffett and Charlie Munger.
Investing can be intimidating, but following some basic principles can put you on the path to achieving your financial goals.
— Brian Baker, CFA
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