| Market Risk Premium | |
 The difference between the expected return on a market portfolio and the risk-free rate. |
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 It is equal to the slope of the security market line (SML). |
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 S&P Composite Price Index and its Risk Premium - An excellent article by Ruben Cohen on risk premium in a world that is not yet perfect, but is approaching it. Financial Concepts - Diversification? Optimal portfolio theory? Read this tutorial and these and other financial concepts will be made clear. |
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