In this article we will discuss about the case for and against foreign direct investments. The foreign direct investment is that form of investment in which the foreign investors not only have the ownership of assets but also control the activities that generate the income flows in the recipient country. It, therefore, involves both the transfer of capital and the [...]
In this article we will discuss about the meaning and methods of security market analysis. Meaning of Security Market Analysis: The security market analysis refers to the analysis of markets and securities traded there in terms of the risk-return, quantities raised or traded, price trends and other indicators of the market referred to above. The market analysis is made in [...]
The CAPM was developed to explain how risky securities are priced in market and this was attributed to experts like Sharpe and Lintner. Markowitz Theory being more theoretical, CAPM aims at a more practical approach to stock valuation. It is no doubt based on the mean-variance approach to risk for assessment of investment as developed by Markowitz. It explains the [...]