Session 5 (Undergraduate): Risk and Return Models

In this session, we completed our discussion of the “right“ objective function for businesses. We then began our discussion of risk by defining risk and listing the ingredients of a good risk and return model. We closed with an intuitive derivation of the capital asset pricing model and alternative models. Slides: ~adamodar/podcasts/cfUGspr16/ Post class test: ~adamodar/pdfiles/cfovhds/postclass/ Post class test solution: http://