Equity risk premium: related pages

A method of valuing securities or an investment using a discounted cash flow (DCF) using a risk adjusted discount rate.

The exaggeration of returns because calculations fail to include securities or markets that have ceased to existed.

The difference between the rate of return on a security (or a market or an investment) and the risk free rate of return.

A graph showing the best possible return against lowest possible risk.

The relationship between risk and return.

Beta is a measure of the correlation between the value of a security and the market. Beta is used to calculate discount rates for CAPM.