How accurate is the CAPM (Capital Asset Pricing Model)?

The CAPM (Capital Asset Pricing Model) is implemented from the Startup Valuation textbook (Chapter 2: Valuation Foundations) and is open source and auditable. All formulas are traceable to the source.

Is the CAPM (Capital Asset Pricing Model) calculator free?

Yes. All 27 calculators and the MCP API are free and open source (MIT licensed).

CAPM (Capital Asset Pricing Model)

FoundationChapter 2: Valuation FoundationsFormula 2.5

Open Source · MIT

Cost of equity: E(R) = Rf + β × (Market Return − Rf). Returns a decimal rate.

CAPM (Capital Asset Pricing Model)

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