Risk-Adjusted Returns: The Investment Metric That Separates Winners from Gamblers Risk-Adjusted Returns: The Investment Metric That Separates Winners from Gamblers Picture this: two investment funds are sitting in front of you. Fund A delivered a spectacular 25% return last year. Fund B returned a more modest 18%. Which one would you choose? If you picked Fund A without asking another question, you're making the same mistake that costs amateur investors thousands of dollars every year. The missing piece of the puzzle? Risk. And more specifically, understanding how to measure returns relative to the risk taken to achieve them. Welcome to the world of risk-adjusted returns—the secret weapon that professional investors use to separate genuine investment skill from reckless gambling. By the time you finish reading this guide, you'll understand why a 15% return can be superior to a 30% gain, how to spot dangerously volatile investments before they damage your portfolio, and which...