Capital Asset Pricing Model Components:

• Risk-Free Rate:

  Ibbotson's Stocks, bonds, bills, and inflation yearbook
  Foster Business Library Reference, Call number: HG4905 .S75 2006.
  Go to Appendix A, for the Monthly Returns on Basic Series, then to pages 256 to 257 (in the 2006 edition) for Real Riskless Rate of Return.

  Note that a variety of risk free sources are often used for this rate:   30-year U.S. Treasury bills; 10-year U.S. Treasury bills; 3-month U.S. Treasury bills, and more.

• Expected Market Return:

  Ibbotson's Stocks, bonds, bills, and inflation yearbook
  Foster Business Library Reference, Call number: HG4905 .S75 2006.
  Go to Appendix A, for the Monthly Returns on Basic Series. Look for pages 226 to 227 (in the 2006 edition) for Large Company Stocks: Total Returns.

• Beta:

  Standard & Poor's stock reports
  Foster Business Library Reference, Call number: HG4907 .S72 (Latest edition)
  Companies are listed alphabetically by company name in this two- or three-volume report, with Beta listed under Key Stock Statistics, right under the chart for the company's stock. For historical beta, consult older editions of this title.

  Another source for beta is the Foster Business Library database Factiva. Go to Companies/Markets and search for a company by company name or ticket symbol; scroll down to Reports and then to Financial Snapshot; look for Beta (36 month and 60 month) under Price Change. Beta can also be found, under Reports, in the Comparison Report, under Price Action (for 36 months), along with the beta for the industry in which the company operates.

  For more companies' beta and to find historical beta online, the Foster Business Library database Bloomberg is a good source; click here for more information about the Bloomberg terminal (U.W. restricted). To find historical beta on Bloomberg, key in the ticker symbol of the company; Function Key 8 (Equity) and BETA. For instance, for the beta for Washington Mutual:

  WM   [F8 key, Equity]  BETA

• Capital Asset Pricing Model (Wikipedia)
• Capital Asset Pricing Model (Investopedia)
  • Risk-Free Rate
  • CAPM Overview
• CAPM Calculator (Moneychimp.Com)

The Foster Business Library Reference Desk is staffed nearly all of the hours that the library is open. The staff at the desk will be happy to help you find business research tools and resources, exploit business databases to the fullest or advise on research strategies. For e-mail questions, direct your query to balib@u.washington.edu. For assistance by telephone, dial (206) 543-8012 during library hours.

For research guides on a wide variety of industries, products, companies, issues and topics, see the Team Librarian Consultation archives.

• Team Consultation Archive (By Country or Market)
• Team Consultation Course/Program Index      (Finance Assignments)
• Team Consultation Industry Index
• Team Consultation Quarter Index
• Team Consultation Title Index
• Team Consultation and Research Guide Index
  • Investing Resources
  • Hedge Fund Resources
  • Mutual Fund Resources