Examlex
Which of the following cells and their functions are correctly matched?
Fama-French Model
A three-factor model developed for explaining asset prices and their returns, incorporating market risk, the size effect, and the value effect.
Benchmarking Performance
The process of comparing the performance of one's investments or company to a standard or a set of standards.
Rational Risk Factors
Factors based on economic theory that affect asset prices and can predict future investment returns, assuming that market participants act rationally.
Value Premium
The excess returns that investors may earn by holding stocks that are considered undervalued compared to their fundamentals.
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