37. Arbitrage Pricing Theory (APT)
Finance ABC20 Dec 2024

37. Arbitrage Pricing Theory (APT)

Welcome back to Finance ABC. I’m your host, Emma Lai, and today we’re exploring a fascinating financial theory that provides a unique way of thinking about asset pricing: the Arbitrage Pricing Theory, or APT. This concept might not be as widely discussed as other financial models like the Capital Asset Pricing Model, or CAPM, but it’s incredibly useful for investors, portfolio managers, and finance enthusiasts who want a deeper understanding of how to assess and price different kinds of investments.

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