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abnormal return

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Financial Dictionary

Abnormal Return

When the return on an asset or security is in excess of the expected rate of return.

Investopedia Commentary

Earning 30% in a mutual fund that is supposed to average 10% would be an abnormal return. Much like winning the lottery, this is something we want to happen.

Related Links

The Truth Behind Mutual Fund Returns
Don't Let Brokerage Fees Undermine Your Returns
Achieving Better Returns In Your Portfolio

See also: Expected Return, Return, Tenbagger

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