|
|
Capital market theory |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Capital market theoryThe generic term for models which aim to price assets, usually shares or baskets of them, in terms of the trade-off between risk and return that investors seek.The best known and most influential of these is the Capital Asset Pricing Model.Similar MatchesWorking capitalWorking capitalDefined as the difference between current assets and current liabilities (excluding short-term debt). Current assets may or may not include cash and cash equivalents, depending on the company. Capital intensiveCapital intensiveUsed to describe industries that require large investments in capital assets to produce their goods, such as the automobile industry. These firms require large profit margins and/or low costs of borrowing to survive. Personal tax view (of capital structure)Personal tax view (of capital structure)The argument that the difference in personal tax rates between income from debt and income from equity eliminates the disadvantage of the double taxation (corporate and personal) of income from equity. Capital appreciation fundCapital appreciation fundSee: Aggressive growth fund Portfolio capitalPortfolio capitalFinancial assets, including stocks, bonds, deposits, and currencies. Further SuggestionsVenture CapitalCapital expenditures Capitalism Pecking order view (of capital structure) Capitalized interest Opportunity cost of capital Morgan Stanley Capital International World Index Capital flight Human capital "Soft" capital rationing Return of capital Return to capital Working capital management Net capital requirement Capital turnover Capital outflow capital gains tax Capital Capital account balance Complete capital market Unrealized capital gain or loss Capitalization rate Capital-using Capital lease Undercapitalized |
|
|
|