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In the Multi Factor Models lecture we talked about the CAPM, the APT, and the Fama French 3-factor models. Question: Does the 3-factor model suggest
In the "Multi Factor Models" lecture we talked about the CAPM, the APT, and the Fama French 3-factor models. Question: "Does the 3-factor model suggest that idiosyncratic risk is compensated?" Another way to ask this same question is "does the 3-factor model suggest that idiosyncratic risk should be related to expected returns
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