relative and absolute returns

简明释义

相对收益和绝对收益

英英释义

例句

1.Investors often evaluate their portfolios based on both relative and absolute returns.

投资者通常根据相对收益和绝对收益来评估他们的投资组合。

2.Understanding relative and absolute returns helps in making informed investment decisions.

理解相对收益和绝对收益有助于做出明智的投资决策。

3.The fund manager reported a relative and absolute returns of 10% this year.

基金经理报告称，今年的相对收益和绝对收益为10%。

4.When comparing mutual funds, it's important to look at both relative and absolute returns.

在比较共同基金时，查看相对收益和绝对收益是很重要的。

5.A high absolute return does not always indicate a good performance if the relative returns are low compared to the benchmark.

如果与基准相比，相对收益较低，那么高的绝对收益并不一定表明表现良好。

作文

In the world of finance and investing, the terms relative and absolute returns are crucial for evaluating the performance of investments. Understanding these concepts can significantly impact how investors make decisions and strategize their portfolios. This essay aims to clarify what relative and absolute returns mean and why they are important in the context of investment analysis.Firstly, let’s define absolute returns. This term refers to the total return on an investment over a specific period, expressed as a percentage of the initial investment. For instance, if an investor buys shares worth $1,000 and sells them after a year for $1,200, the absolute return is calculated as follows: (Final Value - Initial Investment) / Initial Investment * 100, which in this case would be ($1,200 - $1,000) / $1,000 * 100 = 20%. This means that the investment has grown by 20% over the year, regardless of market conditions.On the other hand, relative returns compare the performance of an investment to a benchmark or index, such as the S&P 500. This metric helps investors understand how well their investments are doing compared to the overall market or a specific sector. For example, if the S&P 500 increased by 15% over the same period, but the investor's portfolio grew by 20%, the relative return would be 5% above the benchmark. This comparison is essential because it provides context; an investment may have a high absolute return, but if the market is performing even better, the investor might reconsider their strategy.The distinction between relative and absolute returns is vital for several reasons. First, focusing solely on absolute returns can lead to complacency. An investor might feel satisfied with a 10% gain, but if the market has surged by 15%, that gain is relatively poor. Therefore, considering relative returns encourages investors to remain competitive and strive for better performance.Moreover, understanding both metrics helps in risk assessment. Sometimes, investments with high absolute returns can come with higher risks. For example, a stock might double in value due to speculative trading, but if the overall market declines, the investor may face significant losses. Conversely, an investment with modest absolute returns might outperform the market during downturns, showcasing its resilience.Investors also need to be aware of the time frame when evaluating relative and absolute returns. Short-term gains can be misleading, as they might not reflect the true potential of an investment. A savvy investor will look at long-term performance to get a clearer picture of how an investment fits into their overall strategy.In conclusion, both relative and absolute returns are essential tools for investors. While absolute returns provide a straightforward measure of profit, relative returns offer a necessary perspective on how those profits stack up against the market. By understanding and applying these concepts, investors can make more informed decisions, better manage their portfolios, and ultimately achieve their financial goals. It is crucial for anyone involved in investing to grasp these terms fully, as they play a significant role in determining success in the financial markets.

在金融和投资的世界中，术语绝对收益和相对收益对于评估投资表现至关重要。理解这些概念可以显著影响投资者的决策和投资组合策略。本文旨在阐明绝对收益和相对收益的含义，以及它们在投资分析中的重要性。首先，让我们定义一下绝对收益。这个术语指的是在特定时间段内投资的总回报，以初始投资的百分比表示。例如，如果一位投资者以1,000美元购买股票，并在一年后以1,200美元出售，那么绝对收益的计算方式如下：（最终价值 - 初始投资）/ 初始投资 * 100，在这种情况下为（1,200 - 1,000）/ 1,000 * 100 = 20%。这意味着该投资在一年内增长了20%，不考虑市场条件。另一方面，相对收益比较投资的表现与基准或指数，如标准普尔500指数。这一指标帮助投资者了解他们的投资相较于整体市场或特定行业的表现。例如，如果标准普尔500指数在同一时期增长了15%，而投资者的投资组合增长了20%，那么相对收益将是超出基准的5%。这种比较至关重要，因为它提供了背景；一项投资可能具有高的绝对收益，但如果市场表现更好，投资者可能会重新考虑他们的策略。绝对收益和相对收益之间的区别对于多个原因至关重要。首先，单纯关注绝对收益可能会导致自满。投资者可能会对10%的收益感到满意，但如果市场上涨了15%，那么这个收益就相对较差。因此，考虑相对收益鼓励投资者保持竞争力，努力追求更好的表现。此外，理解这两个指标有助于风险评估。有时，具有高绝对收益的投资可能伴随着更高的风险。例如，一只股票可能因投机交易而翻倍，但如果整体市场下跌，投资者可能面临重大损失。相反，具有适度绝对收益的投资在市场低迷期间可能表现优异，展示其韧性。投资者还需要注意在评估绝对收益和相对收益时的时间框架。短期收益可能具有误导性，因为它们可能无法反映投资的真实潜力。一位聪明的投资者会关注长期表现，以便更清楚地了解投资如何适应其整体策略。总之，绝对收益和相对收益都是投资者的重要工具。虽然绝对收益提供了利润的直接衡量，但相对收益则提供了这些利润与市场相比的必要视角。通过理解和应用这些概念，投资者可以做出更明智的决策，更好地管理他们的投资组合，并最终实现他们的财务目标。任何参与投资的人都必须充分掌握这些术语，因为它们在确定金融市场成功方面发挥着重要作用。