复件ReturnandRiskTheCapitalAssetPricingModel(CAPM).pptVIP

Return and Risk: The Capital Asset Pricing Model (CAPM) Key Concepts and Skills Know how to calculate the return on an investment and the standard deviation of an investment’s returns Know how to calculate expected returns Know how to calculate covariances, correlations, and betas Understand the impact of diversification Understand the systematic risk principle Understand the risk-return tradeoff Be able to use the Capital Asset Pricing Model 10.1 Returns Returns the sum of the cash received and the change in value of the asset, in dollars. Returns Total dollar return= Dividend income+ Capit