Capital asset pricing model

Abstract

This study aims to identify the model of capital asset pricing (CAPM), which occupies a privileged position
in the stock market because it is one of the analysis tools that take into account the relationship between
return and risk in securities and capital investments in general. Which is considered one of the most
important discoveries in the modern financial economy where despite the many criticisms of this model, the
basic model has simplicity, speed and ease. This feature has kept this model in use today and on a large
scale by most specialists in the financial field.