Information Ratio

 

Home
Site Map
Add Term
Search
About Us
Contributors

Information Ratio

The ratio of annualized expected residual return to residual risk. A central measurement for active management, value added is proportional to the square of the information ratio.



Information Ratio

Similar Matches

Informational efficiency

Informational efficiency

The speed and accuracy with which prices reflect new information.


Information Coefficient (IC)

Information Coefficient (IC)

The correlation between predicted and actual stock returns, sometimes used to measure the contribution of a financial analyst. An IC of 1.0 indicates a perfect linear relationship between predicted and actual returns, while an IC of 0.0 indicates no linear relationship.


Price sensitive information

Price sensitive information

Information which, if made public, is likely to have a significant effect on the price of a company's securities. Such information must, in connection with a listed company, be reported to RNS, so that it can be released to the market in a fashion which is fair to all investors.Any person who uses price sensitive information to make a profit either for themselves or a third party in the shares of a company are in breach of insider trading laws or the Market Abuse Regime.


Limit order information system

Limit order information system

The electronic system supplying information about securities traded on participating exchanges so that the best securities prices can be found.


Information asymmetry

Information asymmetry

Condition that information is known to some, but not all, participants.


Further Suggestions

Technical Information
Asymmetric information
For your information (FYI)
Statement of Additional Information (SAI)
Information architecture
Incomplete information
Information services
Expected value of perfect information
Nonpublic information
Asymmetric information
London Market Information Link
Complete information
Intermarket Surveillance Information System (ISIS)
insider information
Information costs
Informational efficiency
Information content effect
Insider information
Fundamental Information
Information Agent


 
All rights Reserved. Do not copy without permission.