The graph of the relationship between expected return and beta in the CAPM context is called the ________.
A) CML
B) CAL
C) SML
D) SCL

Name: The graph of the relationship between expected return and beta in the CAPM context is called the ________. A) CML B) CAL C) SML D) SCL
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Question

Quizplus · Accepted Answer

The graph of the relationship between expected return and beta in the CAPM context is called the Security Market Line (SML), not CML (Capital Market Line) or CAL (Characteristics Line) or SCL (Security Characteristic Line).

The Graph of the Relationship Between Expected Return and Beta