Discover how the CAPM formula calculates expected returns based on investment risk. Understand its assumptions and learn how it guides financial decision-making.

Discover why unlevering beta is essential in WACC calculations for comparing debt and equity financing costs effectively.

The most common metric used to quantify a stock’s market risk is Beta—a measure of a security’s volatility compared to the overall market (usually the S&P 500). However, the Beta you typically see ...