what is the capital asset pricing model

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Main capital asset pricing model kia hy Mera ye sawal AP ko boht zaiyada knowledge provide kary ga or main umeed Karti hun Mein Jo information AP k Sath share karun gi AP ko forex main trading karty howy boht zaiyada faida dy ga

Introduction

capital east praysng model ( si ae pi am ) asason ke liye munazzam khatray aur mutawaqqa wapsi ke darmiyan talluq ko bayan karta hai, khaas tor par stock. . sarmaya karon ko khatray aur paisay ki waqti qeemat ke liye muawza milnay ki tawaqqa hai. capm formulay mein khatray se pak sharah paisay ki waqti qader ke liye accounts karti hai. capm formulay ke deegar ajzaa sarmaya car ke liye izafi khatrah mol letay hain. mumkina sarmaya kaari ka beta is baat ka pemana hai ke market ki terhan nazar anay walay port folyo mein sarmaya kaari kitney khatray mein izafah kere gi. agar koi stock market se ziyada khatarnaak hai, to is ka beta aik se bara hoga. agar kisi stock ka beta aik se kam hai, to farmolh farz karta hai ke is se port folyo ka khatrah kam ho jaye ga. is ke baad stock ke beta ko market rissk premium se zarb diya jata hai, jo market se khatray se pak sharah se ziyada mutawaqqa wapsi hai. khatray se pak sharah ko phir stock ke beta aur market rissk premium ki masnoaat mein shaamil kya jata hai. nateeja aik sarmaya car ko matlooba wapsi ya riayat ki sharah faraham kere ga jisay woh kisi asasay ki qeemat maloom karne ke liye istemaal kar sakta hai. is ki mutawaqqa wapsi. misaal ke tor par, tasawwur karen ke aik sarmaya car aaj $ 100 fi hasas ke stock par ghhor kar raha hai jo 3 % salana dyoydnd ada karta hai. stock mein 1. 3 ki market ke muqablay mein beta hai, jis ka matlab hai ke yeh market port folyo se ziyada khatarnaak hai. is ke ilawa, farz karen ke khatray se pak sharah 3 % hai aur is sarmaya car ko tawaqqa hai ke market ki qeemat mein har saal 8 % izafah hoga. capm formulay par mabni stock ki mutawaqqa wapsi 9. 5 % hai : capm formulay ki mutawaqqa wapsi ka istemaal mutawaqqa holding ki muddat ke douran mutawaqqa munafe aur stak ke sarmaye mein izafay ke liye kya jata hai. agar un mustaqbil ke naqad bahao ki reayati qeemat $ 100 ke barabar hai to capm farmolh batata hai ke stock ki qader khatray ke muqaabla mein kaafi hai .

Problem with CAPM
capm formulay ke peechay kayi mafroozay hain jin ko haqeeqat mein barqarar nah rakhnay ke liye dekhaya gaya hai. jadeed maliyati nazriya do mfrozon par munhasir hai : aik, sikyortiz markets bohat musabiqati aur mo-asar hain ( yani companiyon ke baray mein mutaliqa maloomat ko taizi se aur aalmi satah par taqseem aur jazb kya jata hai ) aur do, un marketon par aqli, khatray se bachney walay sarmaya karon ka ghalba hai, jo apni sarmaya kaari par wapsi se ziyada se ziyada itminan haasil karne ki koshish karen. un masail ke bawajood, capm farmolh ab bhi wasee pemanay par istemaal hota hai kyunkay yeh aasaan hai aur sarmaya kaari ke mutabadil ke aasaan mawazna ki ijazat deta hai. formulay mein beta ko shaamil karna farz karta hai ke khatray ko stock ki qeemat ke utaar charhao se mapa ja sakta hai. taham, dono simtao mein qeemat ki naqal o harkat yaksaa tor par khatarnaak nahi hai. stock ki utaar charhao ka taayun karne ke liye wapsi ki muddat mayaari nahi hai kyunkay stock ki wapsi ( aur rissk ) ko aam tor par taqseem nahi kya jata hai .capm yeh bhi maanta hai ke khatray se pak sharah riayat ki muddat mein mustaqil rahay gi. pichli misaal mein farz karen ke 10 sala ineqad ki muddat ke douran Amrici trisri bandz par sharah sood 5 % ya 6 % tak barh gayi. khatray se pak sharah mein izafah sarmaya kaari mein istemaal honay walay sarmaye ki laagat ko bhi berhata hai aur is se stock ki qader ziyada ho sakti hai. market port folyo jo market rissk premium ko talaash karne ke liye istemaal kya jata hai sirf aik nazriati qader hai aur yeh koi aisa asasa nahi hai jisay stock ke mutabadil ke tor par khareeda ya sarmaya kaari kya ja sakta hai. ziyada tar waqt, sarmaya car aik barray stock index ka istemaal karen ge, jaisa ke s & p 500, market ke mutabadil ke liye, jo ke aik namukammal mawazna hai. capm ki sab se sangeen tanqeed yeh qiyaas hai ke reayati amal ke liye mustaqbil mein cash flow ka andaza lagaya ja sakta hai. agar koi sarmaya car aala satah ki durustagi ke sath stock ki mustaqbil ki wapsi ka andaza laga sakta hai, to capm zaroori nahi hoga .

The CAPM and efficient frontier

aik port folyo bananay ke liye capm ka istemaal karna aik sarmaya car ko –apne khatray ka intizam karne mein madad karta hai. agar koi sarmaya car khatray ke muqaabla mein port folyo ki wapsi ko mukammal tor par behtar bananay ke liye capm ka istemaal karne ke qabil ho, to yeh aik vicar par mojood hoga jisay mo-asar frontier kaha jata hai, jaisa ke darj zail graph mein dekhaya gaya hai. graph dekhata hai ke kitni ziyada mutawaqqa wapsi ( y-axis ) ki zaroorat hoti hai. ziyada mutawaqqa khatrah ( x-axis ). modern port folyo theory ( mpt ) tajweez karti hai ke khatray se pak sharah ke sath shuru karte hue, khatray mein izafay ke sath port folyo ki mutawaqqa wapsi barh jati hai. capital market line ( cml ) par foot honay wala koi bhi port folyo is line ke dayen janib kisi bhi mumkina port folyo se behtar hota hai, lekin kisi waqt, cml par aik nazriati port folyo banaya ja sakta hai jis mein liye jane walay khatray ki miqdaar ke liye behtareen wapsi ho gi. . cml aur mo-asar frontier ki wazahat karna mushkil ho sakta hai, lekin yeh sarmaya karon ke liye aik ahem tasawwur ki wazahat karta hai : barhti hui wapsi aur barhatay hue khatray ke darmiyan tijarat hai. chunkay cml par foot honay walay port folyo ko mukammal tor par banana mumkin nahi hai, is liye sarmaya karon ke liye bohat ziyada khatrah mol lena ziyada aam hai kyunkay woh izafi wapsi ke khwahan hain. darj zail chart mein, aap do port fuels dekh satke hain jo mo-asar sarhad ke sath foot honay ke liye banaye gaye hain. port folyo a ki har saal 8 % wapsi ki tawaqqa hai aur is mein 10 % mayaari inhiraf ya khatray ki satah hai. port folyo b ki har saal 10 % wapsi ki tawaqqa hai lekin is mein 16 % mayaari inhiraf hai. port folyo b ka khatrah is ke mutawaqqa munafe se ziyada taizi se barh gaya. mo-asar frontier capm jaisi cheezon ko farz karta hai aur is ka sirf nazriya mein hisaab lagaya ja sakta hai. agar aik port folyo mo-asar frontier par mojood hai to yeh is ke khatray ki satah ke liye ziyada se ziyada wapsi faraham kere ga. taham, yeh janna namumkin hai ke aaya aik port folyo mo-asar sarhad par mojood hai ya nahi kyunkay mustaqbil mein wapsi ki pishin goi nahi ki ja sakti. khatray aur wapsi ke darmiyan yeh tijarat capm par laago hoti hai aur mo-asar frontier graph ko infiradi asason ke liye tijarat ko wazeh karne ke liye dobarah tarteeb diya ja sakta hai. mandarja zail chart mein, aap dekh satke hain ke cml ko ab security market line ( sml ) kaha jata hai. x mehwar par mutawaqqa khatray ke bajaye, stock ka beta istemaal kya jata hai. jaisa ke aap misaal mein dekh satke hain, jaisay jaisay beta aik se do barhta hai, mutawaqqa wapsi bhi barh rahi hai. capm aur sml stock ke beta aur is ke mutawaqqa khatray ke darmiyan talluq qaim karte hain. aala beta ka matlab hai ziyada khatrah lekin aala beta stock ka aik port folyo cml par kahin mojood ho sakta hai jahan tijarti bandish qabil qubool ho, agar nazriati misali nah ho. beta aur market ke shurka ke baray mein un mfrozon ki wajah se un do models ki qader kam hoti hai jo haqeeqi marketon mein durust nahi hain .

Re: What is the capital asset pricing model

The Capital Asset Pricing Model (CAPM) is a financial model that is used to calculate the expected return on an investment based on the risk-free rate of return, the expected return of the market, and the asset's beta. The model assumes that investors are rational and risk-averse, and that they require a higher return for taking on higher levels of risk.
The CAPM formula is as follows:
Expected Return = Risk-Free Rate + Beta x (Expected Market Return - Risk-Free Rate)
In this formula, the risk-free rate is the rate of return on a risk-free investment, such as a government bond. The expected market return is the expected return of the overall market, such as the S&P 500. Beta is a measure of the asset's volatility relative to the market, and it is calculated by comparing the asset's returns to the returns of the market.
The CAPM is used by investors to determine whether an investment is priced correctly based on its risk level. If an investment's expected return is higher than its CAPM-calculated expected return, it may be considered undervalued and a good investment opportunity. Conversely, if an investment's expected return is lower than its CAPM-calculated expected return, it may be considered overvalued and not a good investment opportunity.
However, it is important to note that the CAPM is just one tool in financial analysis and should be used in conjunction with other analysis and indicators when making investment decisions.