Vicor Total Risk Alpha
| VICR Stock | | | USD 280.33 -0.01 -0.0036% |
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 Vicor's current Total Risk Alpha with peer comparisons and related risk metrics.
Current Total Risk Alpha Value
At 0.9007, Vicor's Total Risk Alpha indicates positive alpha — return above what market exposure alone would predict. Vicor has generated modest excess return beyond what its systematic risk exposure explains.
Total Risk Alpha | = | RFR + (ER[b] - ER[a]) | x | STD[a] / STD[b] |
| = | 0.9007 | |
| ER[a] | = | Expected return on investing in Vicor |
| ER[b] | = | Expected return on market index or selected benchmark |
| STD[a] | = | Standard Deviation of returns on Vicor |
| STD[b] | = | Standard Deviation of selected market or benchmark |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
Total Risk Alpha Peers Comparison
Among sector peers, Vicor's Total Risk Alpha of 0.9007 is above the 0.13 group average. The range runs from -0.2892 (Itron Inc) to 0.5392 (ESCO Technologies). Vicor has generated more 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 Vicor 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.
Vicor's Total Risk Alpha reads
0.90 while Maximum Drawdown reads
26.31 , a
29.21 ratio between the two. This indicates Maximum Drawdown substantially exceeds Total Risk Alpha for Vicor.
Methodology, Assumptions & Data Sources
Vicor has a current Total Risk Alpha reading of 0.9007. The Total Risk Alpha for Vicor applies a standardized calculation to daily closing prices and, where applicable, volume data across the selected period. Price data is sourced from standardized end-of-day feeds across supported exchanges, normalized for corporate actions. Results are based on historical returns and do not predict future performance. This indicator is provided for informational purposes.
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