Explain Capital Asset Pricing Model
Explain Capital Asset Pricing Model (CPM).
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William Sharpe of Stanford, John Lintner of Harvard and Norwegian economist Jan Mossin developed this model. This Capital Asset Pricing Model (CAPM) also decreased the number of parameters required for portfolio selection from those required by Markowitz’s Modern Portfolio Theory, to make asset allocation theory too practical.
What will be the ill effects of holding too much cash by a company? Describe the factors affecting the choice of a maximum cash balance amount.
From books of Aggarwal Bors, following information has been extracted: Rs. Sales 2,40,000 Variable costs 1,44,000 Fixed costs 26,000 Profit before tax 70,000 Rate of tax
What will be the effect on riskiness of a portfolio if assets with negative correlations (even very low correlations) are taken together?
Explain the term copula in current financial crisis.
Illustrates a swap dealer. A swap dealer is a market maker of swaps and supposes a risk position in matching opposite sides of a swap and in assuring that each of counterparty fulfils its contractual compulsion to
How many forms are in Margin Hedging contained?
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What is Co-integration?
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