재무관리9 [Corporate Finance] Foundation of Finance Topics (5): Capital market equilibrium and the CAPM According to Portfolio Theory, by diversifying, investors can eliminate unsystematic risk (also known as diversifiable risk or specific risk) related to individual stocks, but not systematic risk (market risk, or the general perils of investing). The Capital Asset Pricing Model (CAPM) describes the relationship between systematic risk and expected return for assets/stocks. Capital Market Equilib.. 2024. 1. 16. [Corporate Finance] Foundation of Finance Topics (4): Portfolio Theory Portfolio Theory, also known as Modern Portfolio Theory (MPT), was developed by Harry Markowitz in the 1950s. It's a fundamental concept in financial economics that deals with the ways in which investors can construct portfolios to maximize expected return based on a given level of market risk. Risk-Return Trade-Off Fundamental Premise: Investors are risk-averse; they prefer a less risky portfol.. 2024. 1. 16. [Corporate Finance] Foundation of Finance Topics (1): Market Structure, Present Value, Yields, Returns 1. Market Structure In finance, market structure refers to the organizational characteristics of a market, including: the number and size of participants (like firms and consumers) the level of competition product differentiation ease of entering and exiting the market Common market structures include: perfect competition monopolistic competition oligopoly monopoly 2. Present Value, Yields & Ret.. 2023. 12. 23. 이전 1 2 다음
