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The CAPM model is finance’s brutally simple way of answering one question: Are you being paid enough for the risk you’re taking? By linking expected return to market volatility and a stock’s beta, it gives traders a clean benchmark for whether an asset is overpriced, underpriced, or just noise. Just remember, CAPM assumes a perfectly rational world that doesn’t actually exist, so treat its outputs as just a guideline. Share this video with someone interested in finance and follow for more! #fina
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