Invesco DB Total Risk Alpha

DBP ETF  USD 112.75  0.78  0.70%   
Total Risk Alpha measures the excess return of an asset after comparing its performance to a benchmark portfolio matched to the same total risk level. Unlike Jensen Alpha, which adjusts for systematic risk (beta) only, Total Risk Alpha accounts for total volatility. Below is Invesco DB's current Total Risk Alpha with peer comparisons and related risk metrics.

Current Total Risk Alpha Value

Invesco DB's Total Risk Alpha of -0.06 reflects slightly negative alpha — return marginally below the CAPM-predicted level. Invesco DB has slightly underperformed relative to what its market beta would imply.

Total Risk Alpha

 = 

RFR + (ER[b] - ER[a])

x

STD[a] / STD[b]

 = 
-0.06
ER[a] = Expected return on investing in Invesco DB
ER[b] = Expected return on market index or selected benchmark
STD[a] =   Standard Deviation of returns on Invesco DB
STD[b] = Standard Deviation of selected market or benchmark
RFR = Risk Free Rate of return. Typically T-Bill Rate

Total Risk Alpha Peers Comparison

Invesco DB falls below the 0.04 peer average for Total Risk Alpha. Xtrackers MSCI All leads at 0.1025 while First Trust Mid registers the lowest at -0.03. Invesco DB has generated less excess return relative to its market exposure than the peer group average.

Total Risk Alpha Relative To Other Indicators

The chart below plots Total Risk Alpha against Maximum Drawdown for Invesco DB and its peers. Each point represents one equity — position along the horizontal axis shows Total Risk Alpha 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.
Compare Invesco DB to Peers

Methodology, Assumptions & Data Sources

Invesco DB has a current Total Risk Alpha reading of -0.06. The Total Risk Alpha for Invesco DB is produced by transforming raw price history into a standardized measure according to the indicator's defined methodology. Price data is sourced from standardized end-of-day feeds across supported exchanges, normalized for corporate actions. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.

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