The Jensen’s alpha indicator can be used in both RadarScreen and Chart Analysis. In RadarScreen, the indicator appears as displayed in Figure 3 below. There are four plots for the indicator. The first plot is the alpha. If alpha is positive, the background color of the column will be green. If alpha is negative, the background color of the column will be red. The second column displays the beta value based on the input “N,” which represents the length used to calculate beta. The third plot displays the expected return based on the CAPM formula and the last column shows the actual return realized for the security. The difference between the last two columns is the value that appears in the “Alpha” column.