Question

A common criticism of the CAPM is that it Group of answer choices ignores the return on the market portfolio uses too many factors requires only a single measure of systematic risk ignores the risk-free rate of return

Answer 1

requires only a single measure of systematic risk

Step-by-step explanation:

The capital asset price model refers to a model in which shows the relation between the systematic risk and expected return for assets specially for the stocks.

This is needed to determine the expected rate of return

Therefore according to the given situation, the above is the answer and the same is to be considered