CAPM Calculator
Capital Asset Pricing Model — Expected Return = Risk‑Free Rate + β × (Market Return − Risk‑Free Rate)
🏦 Risk‑Free Rate (%)
Typical 10Y gov bond yield
📊 Beta (β) — Stock Volatility
β = 1 → same as market | β > 1 → more volatile
📈 Expected Market Return (%)
Long‑term market average (e.g., S&P 500)
⟳ Reset to defaults
📋 Copy results
E(R) = R
f
+ β × (R
m
- R
f
)
📌 Expected Return (CAPM)
0.00%
📉 Market Risk Premium
0.00%
⚠️ Risk Premium (Stock)
0.00%
📊 Analyzing beta ...
* CAPM helps estimate required return given systematic risk. Higher beta → higher expected return.
⚡ Real‑time calculation | β = 0 → risk-free asset | β < 1 → defensive | β > 1 → aggressive