JPMorgan Chase Jensen Alpha

JPMorgan Chase Co has current Jensen Alpha of 0.7759. Jensen alpha is a measure of the returns that are attributable to the managers ability to select security and time the market. In other words it is the returns remaining after deducting what would have been attributable to beta returns (which do not require skill) and the risk free rate.
JPMorgan Chase 
Jensen Alpha 
 = 
ER[a] - RFR * (1-BETA) 
BETA * ER[b]) 
 = 
0.7759
ER[a] =   Expected return on investing in JPMorgan Chase
ER[b] =   Expected return on market index or selected benchmark
BETA =   Beta coefficient between JPMorgan Chase and the market
RFR =   Risk Free Rate of return. Typically T-Bill Rate

Jensen Alpha Comparison

JPMorgan Chase Co is rated below average in jensen alpha category among related companies. It is rated below average in maximum drawdown category among related companies reporting about  9.17  of Maximum Drawdown per Jensen Alpha. The ratio of Maximum Drawdown to Jensen Alpha for JPMorgan Chase Co is roughly  9.17 
Jensen alpha is the difference between the return of the portfolio, and what the portfolio should theoretically have earned. Any portfolio can be expected to earn the risk free rate (RF), plus the market risk premium (which is given by [Beta x (Market Portfolio Return - Risk Free Rate)]. Anything remaining over and above is alpha.
Compare JPMorgan Chase to competition
JPMorgan Chase Co. operates as a financial services company worldwide. more
NameJPMorgan Chase Co
InstrumentUSA Stock
RegionNorth America
ExchangeNew York Stock Exchange
CIK Number0000019617
ISINUS46625H1005
CUSIP46625H100
Analyst Consensus
Piotroski F Score
Macroaxis Advice
Bond Rating
CurrencyUSD - US Dollar