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lwb120
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Joined: July 30th, 2004, 7:59 pm

About CAPM

March 9th, 2005, 7:22 am

CAPM: ri=rf+b(rm-rf)in general, we are given the return on S&P 500 index, say 12%, as rm in the fomula, but how can we work out this number? if we use the S&P data on yahoo finance, and then calculate return through r=ln[p(t)/p(t-1)], the return shall be negative sometimes.
 
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GregWallace
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Joined: August 6th, 2004, 3:31 am
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About CAPM

March 9th, 2005, 10:46 am

Best to just single post.Refer answers in General Forum.