Introduction to the Capital Asset Pricing Model (CAPM)

[@MrJokergeorge]

The best video on this topic. Took me 16 minutes but will remember it forever. Great video!

[@davidhillier9986]

Very kind of you, George!

[@iNewbieNick]

You explain this so much better than my corporate finance professor. Papa bless.

[@davidhillier9986]

Many thanks for the kind words!

[@riswanthnsai7144]

Good explanation thank you !!!

[@caleharrison5387]

Thank you, this is really well done and has saved my ass

[@davidhillier9986]

I'm happy you appreciated it, Cale. Thanks.

[@surrealentertainment9558]

Watch your language Cale Harrison.

[@Onetwothree365]

@@surrealentertainment9558 he saved his Donkey. Is there an issue?

[@ouihcmensblues6386]

These videos are tremendous. Thank you!

[@davidhillier9986]

Thanks for the kind words!

[@CarelBlumenstock]

Very well explained, thank you.

[@ishtiaksazal]

Thank you sir....I am from Bangladesh and this video helps me a lot.

[@cassane974]

Thank you very much, It will definitely help me for my final exam

[@davidhillier9986]

You're welcome, Mathilde.

[@MissHappyToast]

I was wondering why you didn't expand on the Capital Market Line and only talked about the SML? I know the SML is the base but isn't the CML what is used more often with the efficient frontier? Is there a video where you expand on this? Thanks

[@davidhillier9986]

Sure, just let me know what you want me to cover and I'll put something together.

[@KurtBeCurt]

Dasha

[@m.heyatzadeh]

Thank you sir. This was helpful.

[@AI-ew1rj]

Why is beta=1 for risky assets??

[@turbotek6242]

any chance you could make some videos on option pricing from your book? thanks!

[@davidhillier9986]

Yes, definitely. I'm hoping to do a lot more videos in the first few months of 2015.

[@aquaarmy2712]

+David Hillier well you should because you the best on youtube

[@lwazimgoqi2928]

David Hillier prefecf video can you please do a video on the M and M thoery miller and modigilinar

[@davidhillier9986]

It's coming soon...

[@CozyCornerofAmbience]

I can’t thank you enough! This is the explanation I’ve been looking for... I was very confused since I’ve been consdering the Beta as the slope :(

[@mikefasole]

Please can you do a video on the dividend growth models your videos are very good

[@davidhillier9986]

Ok, I will do that as my next set of videos after Efficient Markets. Thanks for the complement.

[@mikefasole]

Thank you so much. I look forward to it.

[@mayjuly6015]

Thank you very much

[@joeljames6028]

Do you teach at Uni of Glasgow?

[@davidhillier9986]

That's my brother, Joel.

[@miloslabovic8660]

Excellent video

[@davidhillier9986]

Thanks, Milos!

[@yoyopapa999]

Absolute legend

[@davidhillier9986]

Thanks!

[@davidhillier9986]

The multi-factor model is simply a linear one where you add variables you think may be important in determining expected returns. I've used gold price returns, oil price returns, changes in inflation - anything you feel affects returns.

[@annie0016]

thanks sir!!

[@adamskidmore699]

Italian Stallone?

[@useridgaf-p6b]

Very nice

[@discountmethodinyi-jing148]

I ask you a key question: Ra = Rf + Beta * (Rm - Rf) Ra = 5% with price of stock a $15 Rf = 3% with market value of bond market $100*10^6 Rm = 7% with market value of stock market $100*10^9 and Beta = 0.5 So, CAPM is relative equilibrium, i.e. 5% = 3% + 0.5 * (7% - 3%), and it is wondered how to exchange stock return Ra for stock profits $Ra for real capital asset pricing? In reality, this is a key mistake of CAPM.

[@HAK-xo7kw]

Ing my professors couldntnexplain such a simple concept 😅

[@aras20001905]

beast

[@ibragimdzafarzade7480]

You are star bud, yeh?