Stanford: Alpha dog

Allen Stanford is not the shy and retiring type. The supposed billionaire, who has been accused of fraud in his $8bn Stanford International Bank, enjoyed the company of the rich and powerful and had a mission to change the face of international cricket. He’s what pop psychologists call an alpha-male, the wolf who guides the pack. Stanford promised a different sort of alpha to investors: returns out of proportion with the risk taken. Such risk-adjusted outperformance is known as positive alpha i...