Tag Archives: CAPM
Adjusted Beta
Adjusted Beta
The beta is a measure that shows how an individual asset moves when the overall stock market increases or decreases. Basi...
The Capital Asset Pricing Model
The Capital Asset Pricing Model
The Capital Asset Pricing Model was proposed in the mid-1960s by William Sharpe, John Lintner, and Jack...
Capital Allocation and Capital Market Line
Capital Allocation and Capital Market Line
Capital Allocation Line (CAL):
Asset allocation is the allocation of funds across different...
What is Treynor’s Ratio? What are its uses?
What is Treynor's Ratio? What are its uses?
Definition:
Treynor Ratio is also called reward-to-volatility ratio measures and adjusts f...
What is Sharpe ratio and its usage?
Sharpe ratio is the measure of risk-adjusted return of a financial portfolio.
What does it tell us?
Sharpe ratio is a computation of...