- CFA Exams
- CFA Level I Exam
- Study Session 9. Equity Valuation (1)
- Reading 25. Return Concepts
- Subject 1. Return concepts
CFA Practice Question
The CAPM estimates the ______ of an asset.
B. Expected rate of return.
C. Realized holding period of return.
A. Required rate of return.
B. Expected rate of return.
C. Realized holding period of return.
Correct Answer: A
User Contributed Comments 2
| User | Comment |
|---|---|
| raghav09 | Doesn't CAPM estimates expected return? |
| giovannig | Expected return could be more (or less) than the required rate of return based if its undervalued (or overvalued) |