Brookfield Renewable Market Risk Adjusted Performance
| BEP Stock | | | USD 34.54 0.05 0.14% |
Market Risk-Adjusted Performance (MRAP) measures return relative to systematic risk (beta) rather than total risk (standard deviation). This isolates the return earned per unit of market exposure, filtering out idiosyncratic volatility that can be diversified away. Below is Brookfield Renewable's current Market Risk Adjusted Performance with peer comparisons and related risk metrics.
Current Market Risk Adjusted Performance Value
Brookfield Renewable registers a Market Risk Adjusted Performance of 0.3362, reflecting positive but modest risk-adjusted return. Brookfield Renewable has produced a positive return relative to risk, though the margin is limited.
MRAP | = | ER[a] + (1/BETA - 1) | X | ER[a] - RFR) |
| = | 0.3362 | |
| ER[a] | = | Expected return on investing in Brookfield Renewable |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
| BETA | = | Beta of the asset with market or selected benchmark. |
Market Risk Adjusted Performance Peers Comparison
Relative to peers, Brookfield Renewable's Market Risk Adjusted Performance is above the group average of 0.2. Peer readings range from -0.4392 (The AES) to 1.2 (OGE Energy), reflecting wide dispersion across the sector. Brookfield Renewable's risk-adjusted return exceeds the peer average, indicating more efficient compensation for risk taken.
Market Risk Adjusted Performance Relative To Other Indicators
The chart below plots Market Risk Adjusted Performance against Maximum Drawdown for Brookfield Renewable and its peers. Each point represents one equity — position along the horizontal axis shows Market Risk Adjusted Performance while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Brookfield Renewable's Market Risk Adjusted Performance reads
0.34 while Maximum Drawdown reads
10.97 , a
32.62 ratio between the two. This indicates Maximum Drawdown substantially exceeds Market Risk Adjusted Performance for Brookfield Renewable.
Methodology, Assumptions & Data Sources
Brookfield Renewable has a current Market Risk Adjusted Performance reading of 0.3362. The Market Risk Adjusted Performance for Brookfield Renewable is produced by transforming raw price history into a standardized measure according to the indicator's defined methodology. Data sources include daily closing prices from supported exchanges, with standard corporate action adjustments applied. Indicator accuracy depends on data continuity across the calculation period. Gaps in trading history may affect the output.
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