- CFA Exams
- 2023 Level I
- Topic 9. Portfolio Management
- Learning Module 63. Portfolio Risk and Return: Part II
Seeing is believing!
Before you order, simply sign up for a free user account and in seconds you'll be experiencing the best in CFA exam preparation.
Learning Outcome Statements PDF Download
1. Capital Market Theory describe the implications of combining a risk-free asset with a portfolio of risky assets; explain the capital allocation line (CAL) and the capital market line (CML); | |
2. Pricing of Risk and Computation of Expected Return explain systematic and nonsystematic risk, including why an investor should not expect to receive additional return for bearing nonsystematic risk; explain return generating models (including the market model) and their uses; calculate and interpret beta; | |
3. The Capital Asset Pricing Model explain the capital asset pricing model (CAPM), including its assumptions, and the security market line (SML); calculate and interpret the expected return of an asset using the CAPM; | |
4. Applications of the CAPM describe and demonstrate applications of the CAPM and the SML; calculate and interpret the Sharpe ratio, Treynor ratio, M2, and Jensen's alpha. |

Thanks again for your wonderful site ... it definitely made the difference.

Craig Baugh
My Own Flashcard
No flashcard found. Add a private flashcard for the module.
Add