SAPM CROSSWORD

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Across
  1. 3. In order to diversify, we look for security returns that are less than 1 ---------------
  2. 6. One of the researchers/economists who developed the CAPM model
  3. 7. The ------------- which represents the set of portfolios with the maximum rate of return for every given level of risk, or the minimum risk for every level of return is called efficient curve.
  4. 10. A ----------------trading strategy is where you can short similar number of shares of the same or similar stock which you are long so as to lock-in the profits.
  5. 11. The risk that is ---------------to the firm is diversifiable
  6. 14. A conditional market order to buy stock if it increases to a specified price
  7. 16. The other name for utility curve is ------------------curve.
  8. 19. The regression line of a market model is the security ----------line
  9. 20. The pure arbitrage opportunity is where an investor earns riskless ----------------without making any net investment
Down
  1. 1. --------------is a market equilibrium model (write in short form)
  2. 2. --------------------is the sensitivity of asset returns to market returns.
  3. 4. The capital market line is an efficient line where ------------------ lending and borrowing are allowed and the tangent portfolio on the efficient frontier of risky assets is the market index.
  4. 5. In the absence of ------------------- markets, there will be liquidity risk.
  5. 8. The economist who developed a macroeconomic-based factor model
  6. 9. On any type of order, instead of paying 100% cash, investors can borrow a portion of the transaction and use the stock as collateral, which is called --------------------transactions
  7. 12. Variance of a portfolio with equi-proportionate investments in each security is approximately equal to the average ------------------as the number of securities becomes very large
  8. 13. Researchers came up with the ------------ index model to reduce the estimation errors in the Mean-variance model
  9. 15. It is the basis of one of the factors of the Fama-French 5 factor model
  10. 17. The economist who introduced the factor momentum in Fama-French 3 factor model
  11. 18. The other name for non-diversifiable risk is -------------------------risk