The concept of Information is closely related to notions of constraint, communication, control, data, form, instruction, knowledge, meaning, mental stimulus, pattern, perception, representation
Alpha is a risk-adjusted measure of the so-called active return on an investment. It is the return in excess of the compensation for the risk borne, and thus commonly used to assess active managers‘ performance. Often, the return of a benchmark is subtracted in order to consider relative performance, which yields Jensen’s alpha.
Information Alpha (IA) is the concept of how data, regardless of its origin, can influence a positive (or negative) outcome in the investment world. Moreover, technology has and continues to increase the volume, velocity and variety of information being leveraged to improve returns.
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Information Alpha 