Search results

In finance, the capital asset pricing model (CAPM) is used to determine a theoretically appropriate required rate of return of an ... more

In finance, the capital asset pricing model is used to determine a theoretically appropriate required rate of return of an asset, if that asset is to be ... more

Security market line (SML) is the representation of the capital asset pricing model. It displays the expected rate of return of ... more

Capital market line (CML) is the tangent line drawn from the point of the risk-free asset to the feasible region for risky ... more

Security characteristic line (SCL) is a regression line, plotting performance of a particular security or portfolio against that ... more

The weighted average cost of capital is the rate that a company is expected to pay on average to all its security holders to finance its assets. It is the ... more

In finance, leverage is a general term for any technique to multiply gains and losses. Most often it involves buying more of an asset by using borrowed ... more

The current yield, interest yield, income yield, flat yield, market yield, mark to market yield or running yield is a financial term used in reference to ... more

In finance, the beta (β) of an investment is a measure of the risk arising from exposure to general market movements as opposed to idiosyncratic factors. ... more

The dividend discount model is a method of valuing a company’s stock price based on the theory that its stock is worth the sum of all of its future ... more