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Review of Quantitative Finance and Accounting

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01-04-2014 | Original Research

The evolution of capital asset pricing models

Authors: Yi-Cheng Shih, Sheng-Syan Chen, Cheng-Few Lee, Po-Jung Chen

Published in: Review of Quantitative Finance and Accounting | Issue 3/2014

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Abstract

The capital asset pricing models (CAPM) has been the benchmark of asset pricing models and has been used to calculate asset returns and the cost of capital for more than four decades. Many researchers have tried to relax the original assumptions and generalize the static CAPM. We survey the important alternative theoretical models of capital asset pricing and provide a complete review of the evolution of asset pricing models. We also discuss the interrelationships among these models and suggest several possible directions for future research. Our results might be used as a guideline for future theoretical and empirical research in capital asset pricing.

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Title: The evolution of capital asset pricing models
Authors: Yi-Cheng Shih
Sheng-Syan Chen
Cheng-Few Lee
Po-Jung Chen
Publication date: 01-04-2014
Publisher: Springer US
Published in: Review of Quantitative Finance and Accounting / Issue 3/2014
Print ISSN: 0924-865X
Electronic ISSN: 1573-7179
DOI: https://doi.org/10.1007/s11156-013-0348-x

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