Glossary Term: OUTPERFORM
Definition(s) for OUTPERFORM:
1. ) Generally, this means to do better than some particular benchmark. Mutual Fund ABC is said to outperform the S&P500 if its return exceeds the S&P 500 return. However, this term does not take risk into account. That is, one might have a higher return than the benchmark in a particular year because of higher risk exposure. Outperform is also a term used by analysts to describe the prospects of a particular company. Typically, this means that the company will do better than its industry average.
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