TY - JOUR T1 - The Alpha Life Cycle: New Insight into Investment Alpha and How Portfolio Managers Can Sustain It JF - The Journal of Investing DO - 10.3905/joi.2022.1.237 SP - joi.2022.1.237 AU - Chris Woodcock AU - Alesi Rowland AU - Snežana Pejić Y1 - 2022/08/02 UR - https://pm-research.com/content/early/2022/08/02/joi.2022.1.237.abstract N2 - In this article, the objective is to validate and better understand an effect of return generation at the position level that has long been assumed but never demonstrated: that return generation has a life cycle—a beginning, middle, and end—and that investors often hold on to positions too long, potentially diminishing whatever excess returns they were able to generate early in the life cycle. This analysis examines roughly 10,000 episodes (i.e., full cycles of a given position from first entry to last exit) across 43 active equity portfolios over 14 years. ER -