MorningStar Partners Total Risk Alpha
| TXO Stock | | | 12.50 0.19 1.54% |
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 MorningStar Partners's current Total Risk Alpha with peer comparisons and related risk metrics.
Current Total Risk Alpha Value
At
-0.02, MorningStar Partners exhibits slightly negative alpha — return marginally below the CAPM-predicted level in Total Risk Alpha. MorningStar Partners has slightly underperformed relative to what its market beta would imply.
Total Risk Alpha | = | RFR + (ER[b] - ER[a]) | x | STD[a] / STD[b] |
| = | -0.02 | |
| ER[a] | = | Expected return on investing in MorningStar Partners |
| ER[b] | = | Expected return on market index or selected benchmark |
| STD[a] | = | Standard Deviation of returns on MorningStar Partners |
| STD[b] | = | Standard Deviation of selected market or benchmark |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
Total Risk Alpha Peers Comparison
MorningStar Partners's Total Risk Alpha of -0.0246 falls below the 0.3 peer average. Values range from -0.2126 (Vitesse Energy) to 1.28 (Kosmos Energy), with wide dispersion across the group. MorningStar Partners 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 MorningStar Partners 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 MorningStar Partners to PeersMethodology, Assumptions & Data Sources
MorningStar Partners has a current Total Risk Alpha reading of -0.02. This Total Risk Alpha reading for MorningStar Partners results from applying the indicator's calculation rules to price and volume data over the selected window. Inputs are drawn from end-of-day closing prices reported by supported exchanges, adjusted for splits and dividends where applicable. MorningStar Partners operates in the energy sector, which may exhibit distinct volatility and momentum characteristics relative to the broader market. The output reflects the selected calculation window — changing the horizon will produce different readings. This stock metric is provided for analytical reference.
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