Contents Time Value of Money Annuities Perpetuities Kinds of Interest Rates Future Value of an Uneven Cash flow Probability Distribution Standard Deviation CAPM Security Market Line Bond Valuation Stock Valuation Cost of Capital The Balance Sheet Capital Budgeting Hall of Fame Credit Report Forex 401K ETFs Futures Inflation IPOs Mergers Online Scams Calculators Financial Terms Scientific Terms Military Terms Financial Charts Unemployment Fuel Mileage Sports Finance Energy Efficiency हिन्दी العربية Espanol Francias Portuguese Disclaimer 
The Security Market Line
I f you make a graph of this situation, it would look like this:
The red line is the Security Market Line. How did we get it? We plugged in a few
sample betas into the equation
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