The formula for CAPM calculates the expected return of an asset (usually a stock ... The efficient frontier uses CAPM to help create an efficient portfolio that tells an investor the optimal ...

Then, make a determination about what your expected return needs to be. Should it be 6%, 8%, 11%? 3. A rate of return can be backfitted into your portfolio by using the latest estimates of what ...

The internal rate of return (IRR) is the annual rate of growth that an investment is expected to generate ... IRR calculations rely on the same formula as NPV does. Keep in mind that IRR is ...