Posts Tagged ‘CAPM’
Should a good financial planner know CAPM?
June 1st, 2010
I have asked every financial planner in town if they know the Beta on the New York Stock Exchange or S&P 500, and none of them have known the answer–which means that they don’t understand the Capital Asset Pricing Model. I thought it would be reasonable to expect financial planners to know CAPM and ECMH. Is it? Are the financial planners in my area just stupid, or are they par for the course? And if they aren’t expected to know CAPM, why should I entrust my money to them?
