After reading this article you will learn about the relationship between the superior and subordinate according to V.A. Graicunas V.A. Graicunas was a French management consultant, lie developed a mathematical formula by analysing superior- subordinate relationships. He suggests that as the number of subordinates increases arithmetically there is exponential increase in the number of possible relationships. Graicunas has identified three [...]
This article throws light upon the four main sections of risk and return relationship. The sections are: 1. Risk and Return of a Single Asset 2. Risk and Return of a Portfolio 3. Capital Asset Pricing Model (CAPM) 4. Arbitrage Pricing Theory. Section # 1. Risk and Return of a Single Asset: Return on Investment: Return from a venture is [...]
After reading this article you will learn about the relationship between Risk and Expected Return. There is a positive relationship between the amount of risk assumed and the amount of expected return. Greater the risk, the larger the expected return and the larger the chances of substantial loss. Investments which carry low risks such as high grade bonds will offer [...]