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According to new growth theory
Geometric Average Return
A method to calculate the average rate of return per period on an investment, compounded over multiple periods.
Treynor Measure
A performance metric for determining how well the returns of an investment compensate the investor for taking a risk, adjusting for market volatility.
S&P 500 Index
A market-capitalization-weighted index of the 500 largest U.S. publicly traded companies and is considered one of the best representations of the U.S. stock market.
Sharpe Measure
A metric for calculating risk-adjusted return, measuring excess return per unit of deviation in an investment.
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