Daniel Jassy, CFA, is an Investopedia Academy instructor and the founder of SPYderCRusher Research. He contributes to Excel and Algorithmic Trading. Return on investment (ROI) measures the amount of ...

Every thriving business relies on a robust return on investment (ROI) to help gauge whether its investments are yielding a profit. Although you as an individual investor possess shallower pockets than ...

High risk-adjusted returns suggest efficient performance for the invested capital. Low risk-adjusted returns indicate potentially suboptimal investments. Comparing risk-adjusted returns helps select ...

Examples of passive investments include ETFs or other funds tracking the S&P 500, the Nasdaq 100 or U.S. investment-grade bonds. The major flaw in this widely adopted category is that all “passive” ...

In order to make an educated decision when making any investment, you need to try to determine how much you could make on that investment. It’s also important to know how much you’ve made on the ...

Return on investment is a metric that measures the amount of profitability earned on a particular investment by comparing its costs to its returns. The purpose of any business is to earn a profit, ...