___________ a relationship between expected return and risk. A) APT stipulates B) CAPM stipulates C) Both CAPM and APT stipulate D) Neither CAPM nor APT stipulate E) No pricing model has been found.

Name: ___________ a relationship between expected return and risk. A) APT stipulates B) CAPM stipulates C) Both CAPM and APT stipulate D) Neither CAPM nor APT stipulate E) No pricing model has been found.
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Question

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Both models attempt to explain asset pricing based on risk/return relationships.

___________ a Relationship Between Expected Return and Risk