An Overview of Asset Pricing Models

Business & Finance, Finance & Investing, Banks & Banking
Cover of the book An Overview of Asset Pricing Models by Mohamed Ismail Mohamed Riyath, GRIN Verlag
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Mohamed Ismail Mohamed Riyath ISBN: 9783668093300
Publisher: GRIN Verlag Publication: June 22, 2018
Imprint: GRIN Verlag Language: English
Author: Mohamed Ismail Mohamed Riyath
ISBN: 9783668093300
Publisher: GRIN Verlag
Publication: June 22, 2018
Imprint: GRIN Verlag
Language: English

Research Paper (postgraduate) from the year 2015 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, , course: Higher National Diploma in Accountancy (HNDA), language: English, abstract: The term financial market describes any marketplace where lenders, i.e. those who have excess fund, and borrowers, i.e. those who need funds, meet together for an exchange of instruments such as equities, bonds, currencies and derivatives. The lenders in the financial market are called investors who buy financial instruments. The investors invest their fund to maximize their wealth. In reality investors are unable to achieve their objectives at all due to poor performance of respective stock and the market conditions when they are investing in equities. The reason could be the assets may underpriced or overpriced when making investment decisions. If the investors are priced correctly for the asset by considering all relevant factors which are affecting the value, they can enjoy normal profit by appropriately pricing the asset in an efficient market. It has always been the challenge of explaining the decision process of the investors in the stock market. In this context, the behavior of investor has a close relationship with the investment decisions and the way of enriching. The rate of return and its determinations are the major issues in Finance. The rate of return is one of fundamental criteria for allocation of resources and analysis of risk and return. Their importance can be observed in the field of corporate and personal finance when define the viability of an investment and making investment decisions. Stock returns is always be considered as the principal point when investors going to put their money in financial market. More profit have been involved in higher risk, and vice versa. Investors should take into account their decision to invest their money in accordance with their risk-taking abilities. Many theories and models have developed to guide investors in measuring their proper risk for a given level of return, which will help investors to take a decision easier. All such theories and models unable practiced in all times in different markets. Anomalies could occur in all different conditions of the market (Ramdy 2011).

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

Research Paper (postgraduate) from the year 2015 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, , course: Higher National Diploma in Accountancy (HNDA), language: English, abstract: The term financial market describes any marketplace where lenders, i.e. those who have excess fund, and borrowers, i.e. those who need funds, meet together for an exchange of instruments such as equities, bonds, currencies and derivatives. The lenders in the financial market are called investors who buy financial instruments. The investors invest their fund to maximize their wealth. In reality investors are unable to achieve their objectives at all due to poor performance of respective stock and the market conditions when they are investing in equities. The reason could be the assets may underpriced or overpriced when making investment decisions. If the investors are priced correctly for the asset by considering all relevant factors which are affecting the value, they can enjoy normal profit by appropriately pricing the asset in an efficient market. It has always been the challenge of explaining the decision process of the investors in the stock market. In this context, the behavior of investor has a close relationship with the investment decisions and the way of enriching. The rate of return and its determinations are the major issues in Finance. The rate of return is one of fundamental criteria for allocation of resources and analysis of risk and return. Their importance can be observed in the field of corporate and personal finance when define the viability of an investment and making investment decisions. Stock returns is always be considered as the principal point when investors going to put their money in financial market. More profit have been involved in higher risk, and vice versa. Investors should take into account their decision to invest their money in accordance with their risk-taking abilities. Many theories and models have developed to guide investors in measuring their proper risk for a given level of return, which will help investors to take a decision easier. All such theories and models unable practiced in all times in different markets. Anomalies could occur in all different conditions of the market (Ramdy 2011).

More books from GRIN Verlag

Cover of the book Wovon hängt der Erfolg von Neuprodukteinführungen ab? by Mohamed Ismail Mohamed Riyath
Cover of the book Strategisches Management mit der Balanced Scorecard. Die Balanced Scorecard als Instrument für eine erfolgreiche Strategieumsetzung by Mohamed Ismail Mohamed Riyath
Cover of the book Ein medienpädagogisches Projekt mit Medienkompetenz als Bildungsziel und Möglichkeiten deren Vermittlung by Mohamed Ismail Mohamed Riyath
Cover of the book Trainingsplan Krafttraining by Mohamed Ismail Mohamed Riyath
Cover of the book Die Bedeutung des informellen Lernens für die Netzgeneration by Mohamed Ismail Mohamed Riyath
Cover of the book The Inquisition - A multi-faceted institution by Mohamed Ismail Mohamed Riyath
Cover of the book Grunderwerbsteuerliche Probleme bei der Übertragung von Unternehmensanteilen by Mohamed Ismail Mohamed Riyath
Cover of the book Hyperaktivität - Erscheinungsbild und Therapiemöglichkeiten by Mohamed Ismail Mohamed Riyath
Cover of the book Sportlehrerprofessionalität. Merkmale und Kompetenzentwicklung by Mohamed Ismail Mohamed Riyath
Cover of the book Bildungspraktisches Handeln in der Erwachsenenbildung. Reflektierende Dokumentation zum Praktikum im Studiengang B.A. Bildungswissenschaft. by Mohamed Ismail Mohamed Riyath
Cover of the book Benno Werlens Entwurf einer handlungszentrierten Sozialgeographie in kritischer Diskussion by Mohamed Ismail Mohamed Riyath
Cover of the book Tourismus in ländlichen Räumen der Entwicklungsländer by Mohamed Ismail Mohamed Riyath
Cover of the book Der demographische Wandel der Stadt Ludwigshafen. Die Bevölkerungsentwicklung von 1960 bis heute by Mohamed Ismail Mohamed Riyath
Cover of the book Die 'Stifter' GmbH (gGmbH) als Ersatzform der selbstständigen, gemeinnützigen Stiftung by Mohamed Ismail Mohamed Riyath
Cover of the book Emily Dickinson. Her poetry as a way to make sense of the world by Mohamed Ismail Mohamed Riyath
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy