Security Market Line

 

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Security market line

Line representing the relationship between expected return and market risk or beta. The slope of this line is the risk premium for beta.

Security Market Line

The linear relationship between expected asset returns and betas posited by the Capital Asset Pricing Model.



Security Market Line

Similar Matches

Security

Security

A financial asset such as a share or bond.An asset which is offered by a borrower to a lender to safeguard a loan.


Graduated security

Graduated security

A security that has moved from listing on an exchange of less prominence to one of more prominence.


Beta equation (security)

Beta equation (security)

The market beta of a security is determined as follows: Regress beta of stock y on excess returns of the market. The slope coefficient is beta. Define n as number of observation numbers. Beta= [(n) (sum of [xy]) ]-[ (sum of x) (sum of y)]/ [(n) (sum of [xx]) ]-[ (sum of x) (sum of x)] where: n = # of observations (usually 36 to 60 months) x = rate of beta for the S&P 500 index y = rate of return for the security. Related: beta


Employee Retirement Income Security Act

Employee Retirement Income Security Act

In the US, a federal law introduced for the protection of participants in private pension plans.


Dated security

Dated security

A fixed interest security which has a specified date for repayment (redemption date).


Further Suggestions

Convertible security
Security deposit (maintenance)
International Security Market Association (ISMA)
Security selection decision
Senior security
Security selection
social security disability income insurance
Unlisted security
Security
Security certificate
Zero coupon convertible security
Social Security Disability Income Insurance
Mutilated security
Monthly income preferred security (MIP)
Supplemental Security Income
Social Security benefits
Security deposit (initial)
Undervalued security
Additional security fee
Security Industry Automated Corporation (SIAC)
debt security
Cabinet security
Nonmarketable security
high grade security
Hybrid security


 
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