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Bridge over ocean
15 January 2019 Multimedia

Evidence and Explanations of the Failure of the Standard Risk Premium

  1. Eric G. Falkenstein

CFA Institute invites you to view this informative webinar to learn about failings of the standard risk-return theory. When should you use high-risk investments, or should you avoid them altogether? How should investors frame risk to their clients?

In this webinar we will:

  • explain what the risk-return theory is and why we think it works;
  • show that in practice it does not work; and
  • present some theories offered as to why the risk-return theory does not work.

Note that this generates a simple positive recommendation: avoid high-risk investments in general.

This is an archived recording of a live webinar that took place on 15 January 2019.