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Capital market line (CML) |
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Capital market line (CML)The line defined by every combination of the risk-free asset and the market portfolio. The line represents the risk premium you earn for taking on extra risk. Defined by the capital asset pricing model.Capital market line (CML) Similar MatchesCapital adequacy ratioCapital adequacy ratioThe ratio of a bank's capital to its risk-weighted credit exposure. International standards recommend a minimum for this ratio, intended to permit banks to absorb losses without becoming insolvent, in order to protect depositors. Free capital marketsFree capital marketsThis is not a standard term, but it seems to be used, variously, to describe the absence of government regulation of international capital flows, the absence of government or central bank intervention in exchange markets, and the absence of interference with national financial and development policies by international financial institutions. Venture capital limited partnershipVenture capital limited partnershipA partnership between a startup company and a brokerage firm or entrepreneurial company that provides capital for the new business in return for stock in the company and a share of the profits. Core capitalCore capitalThe capital required of a thrift institution, which must be at least 2% of assets to meet the rules of the Federal Home Loan Bank. Capital appreciation or depreciationCapital appreciation or depreciationThe increase or decrease in the value of the individual's investment in the property. Further SuggestionsShort term capital gainHuman capital Marginal efficiency of capital Capitalized interest Contributed capital Capital account capital movement Capital good Perfect capital market capital transfer tax Capital infusion Leveraged recapitalization Capital issued share capital Capital formation Physical capital Other capital Investment Company with Variable Capital Capital flight Working capital venture capital trust Capital Capital-using Capital Planned capital expenditure program |
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