Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. which of these is not an assumption of the capm mo

Which of these is NOT an assumption of the CAPM model? ...

90.2K

Verified Solution

Question

Finance

Which of these is NOT an assumption of the CAPM model?

Investors prefer less risk to more, for a given rate of return

All investors who invest in the market portfolio carry some element of systematic risk which cannot be diversified

Investors will diversify their portfolios to the fullest extent possible, eliminating all non-systematic risk

There is no risk-free return available to investors

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

the board of directors has asked you to assess the financial impact and make a recommendation regarding...

Finance
Q

Describe the flow through the tract of the digestive system starting at the mouth (oral cavity)...

Medical Sciences
Q

The population P of a predator mammal depends upon the number x of a smaller...

Basic Math
Q

Determine if 81x - y = 81 is an ellipse.EllipseNot an EllipseIf it is an...

Algebra
Q

ou are the new accounting manager at the Barry Transport Company. Your CFO has asked...

Accounting
Q

Gross profit averaged 35% of net sales. Required a. Calculate the estimated loss of inventory...

Accounting
Q

! Required Information Problem 9-1A (Algo) Short-term notes payable transactions and entries LO P1 [The...

Accounting
Q

Axelrod Enterprises manufactures a product that passes through two processes: Fabrication and Assembly. The following...

Accounting
Q

Jameson received a court award for $100,000 for damages to his personal reputation by the...

Accounting
Q

Look at the city of grand rapids CARF, ended juce 2016 and answer the following...

Accounting
Q

Comprehensive Problem 4-1 Skylar and Walter Black have been married for 25 years. They live...

Accounting
Q

Martin Company is considering the introduction of a new product. To determine a selling price,...

Accounting