Alpha – A measure of performance on a risk-adjusted basis.
Sharpe Ratio – The Sharpe Ratio is a measure for calculating risk-adjusted return, and this ratio has become the industry standard for such calculations.
Standard Deviation – A measure of the dispersion of a set of data from its mean. The more spread apart the data, the higher the deviation. Standard deviation is calculated as the square root of variance.
Intrinsic value – The actual value of a company or an asset based on an underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors.
Price/Cash Flow – the price/cash flow ratio is used by investors to evaluate the investment attractiveness, from a value standpoint, of a company’s stock. This metric compares the stock’s market price to the amount of cash flow the company generates on a per-share basis.
Price/Book – A valuation ratio used by investors which compares a stock’s per-share price (market value) to its book value (shareholders’ equity). The price-to-book value ratio, expressed as a multiple (i.e. how many times a company’s stock is trading per share compared to the company’s book value per share), is an indication of how much shareholders are paying for the net assets of a company.
Price/Sales – A stock’s price/sales ratio (P/S ratio) is another stock valuation indicator similar to the P/E ratio. The P/S ratio measures the price of a company’s stock against its annual sales, instead of earnings.
MSCI All Country World Index – A market capitalization weighted index designed to provide a broad measure of equity-market performance throughout the world. The MSCI ACWI is maintained by Morgan Stanley Capital International, and is comprised of stocks from both developed and emerging markets.
HFRX Event Driven Index – The methodology is based on defined and predetermined rules and objective criteria to select and rebalance components to maximize representation of the Hedge fund Universe. The HFR Event Driven Index is being used under license from Hedge fund Research, Inc. which does not approve or endorse Evermore Global Value Fund.