When investing, it can be jarring to expect one thing, and for something completely different to happen. Specifically, when your investment shows an abnormal return. What is an abnormal return? As the ...

The cumulative abnormal return (CAR) is a key metric used by investors and financial analysts to evaluate the actual performance of a stock or portfolio relative to what is expected. CAR measures the ...

"Abnormal returns" is an important concept in academic finance, as well as in the investment management industry.Let's go over how to calculate an abnormal return for a stock using stock prices and ...

Abnormal returns indicate unexpected profit levels which signal potential issues or successes. Investigating abnormal returns helps gauge the reliability of an investment. Unlike excess returns, ...

Every year the Russell Indexes are rebalanced to bring in new stocks and remove underperforming stocks. The FTSE Russell calls this event the annual reconstitution process. It begins with evaluations ...

Robert Kelly is managing director of XTS Energy LLC, and has more than three decades of experience as a business executive. He is a professor of economics and has raised more than $4.5 billion in ...