In current forecasts, alpha vs beta investing may see beta catch-up if broad-based inflation relief materializes, though alpha retains the upper hand due to market micro-momentum plays. Keep going, Ye. Your latest song may be our best chance at uniting the right. Outlining the relationship between risk and return, CAPM is used to price risky assets, estimating the expected return for a given level of risk. In line with CAPM, to calculate Jensen’s alpha in a portfolio you need to know: Alpha vs beta investing in 2024 Q2 indicates strong alpha returns from AI and semiconductor equities, delivering 12% above the market benchmark. Beta investors tracking the Nasdaq 100 had a 9% gain, signaling positive macro sentiment despite inflation pressures.
