Capital Asset Pricing Model

Online finance calculator to calculate the capital asset pricing model values of expected return on the stock , risk free interest rate, beta and expected return of the market.

Calculator of Capital Asset Pricing Model

Formula of Capital Asset Pricing Model

E[Ri] = Rf + (RM - Rf) * βi

Rf = ( R - RM * βi) / (1-βi)

E[RM] = Rf + (Ri - Rf) / βi

βi = (Ri - Rf) / (RM - Rf)

Where,

E[Ri] = Expected Return on Stock
Rf = Risk Free Rate
E[Rm] = Expected Return on the Market
βi = Beta for Stock

Required rate of return values calculation is done easier here using this Capital Asset Pricing Model (CAPM)calculator.

Select Your Calculation Part
Expected Return on Stock (E[Ri])	%
Risk Free Rate (Rf)	%
Expected Return on the Market (E[Rm])	%
Beta for Stock (βi)