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Which is ferrous sulfide?
Risk Premium
The extra return above the risk-free rate that investors require as compensation for the risk of an investment.
Simple CAPM
A model that describes the relationship between the risk of a security and its expected return, based on the premise that markets are efficient.
Risk-free Rate
The theoretical return on an investment with zero risk, typically represented by the yield on government bonds.
Expected Return
The expected return is the anticipated average return on an investment, considering both the probability of each outcome and the return of each outcome.
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