Ex-Post

AAA

DEFINITION of 'Ex-Post'

Another term for actual returns. Ex-post translated from Latin means "after the fact". The use of historical returns has traditionally been the most common way to predict the probability of incurring a loss on any given day. Ex-post is the opposite of ex-ante, which means "before the event".

INVESTOPEDIA EXPLAINS 'Ex-Post'

Companies may try to obtain ex-post data to forecast future earnings. Another common use for ex-post data is in studies such as value at risk (VaR), a probability study used to estimate the maximum amount of loss a portfolio could incur on any given day.

RELATED TERMS
  1. Actual Return

    The actual gain or loss of an investor. This can be expressed ...
  2. Ex-Post Risk

    A type of risk measurement technique that uses historic returns ...
  3. Earnings

    The amount of profit that a company produces during a specific ...
  4. Ex-Ante

    A term that refers to future events, such as future returns or ...
  5. Value At Risk - VaR

    A statistical technique used to measure and quantify the level ...
  6. Smart Beta

    Investment strategies that emphasize the use of alternative weighting ...
RELATED FAQS
  1. Is tracking error a significant measure for determining ex-post risk?

    Before we answer your question, let's first define tracking error and ex-post risk. Tracking error refers to the amount by ...
Related Articles
  1. Fundamental Analysis

    The Equity-Risk Premium: More Risk For Higher Returns

    Learn how the expected extra return on stocks is measured and why academic studies usually estimate a low premium.
  2. Investing Basics

    Are You Investing With A Purpose?

    We all appreciate having a wide variety of investing choices, but a random collection of investments does not make an investing plan.
  3. Fundamental Analysis

    Is Apple's Stock Over Valued Or Undervalued?

    Despite several drawbacks, the CAPM gives an overview of the level of return that investors should expect for bearing only systematic risk. Applying Apple, we get annual expected return of about ...
  4. Bonds & Fixed Income

    Figuring Out How To Cover Your Liability Bases

    Whenever we talk about the asset-liability approach to portfolio management (ALM), the concepts of immunization and cash flow matching come into play.
  5. Options & Futures

    How to Use Commodity Futures to Hedge

    Both producers and consumers of commodities can use futures to hedge. We explain, using a few examples, how to achieve commodity hedging with futures.
  6. Mutual Funds & ETFs

    4 Tax-Free Muni Bond ETFs to Consider

    Tax free municipal bond ETFs are an excellent way to build wealth slowly. Here are 4 you should consider.
  7. Savings

    How LearnVest Brings Financial Education To All

    LearnVest is one of the most exciting players in the financial technology space. The company's goal: make financial planning accessible.
  8. Chart Advisor

    This Low-Volatility ETF Deserves Your Attention

    When uncertainty enters the market, investors seek out safety. Instead of blue chips, stable currencies, precious metals or bonds, consider this ETF.
  9. Trading Strategies

    Retirement Investing with BlackRock's CoRI Funds

    A look at BlackRock’s CoRI Funds as a retirement investment option.
  10. Mutual Funds & ETFs

    A Look at Blackrock's iShares ETFs

    An Overview of Blackrock iShares ETFs and what makes them unique.

You May Also Like

Hot Definitions
  1. Prepaid Expense

    A type of asset that arises on a balance sheet as a result of business making payments for goods and services to be received ...
  2. Gordon Growth Model

    A model for determining the intrinsic value of a stock, based on a future series of dividends that grow at a constant rate. ...
  3. Cost Accounting

    A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step ...
  4. Law Of Supply

    A microeconomic law stating that, all other factors being equal, as the price of a good or service increases, the quantity ...
  5. Investment Grade

    A rating that indicates that a municipal or corporate bond has a relatively low risk of default. Bond rating firms, such ...
  6. Fringe Benefits

    A collection of various benefits provided by an employer, which are exempt from taxation as long as certain conditions are ...
Trading Center