A visual representation of different return scenarios when considering risky and risk-free investments. The line connects the various anticipated returns of different portfolio combinations.

Related information about capital allocation line (CAL):

1. Capital allocation line - Wikipedia, the free encyclopedia
   Capital allocation line (CAL) is a graph created by investors to measure the risk of risky and risk-free assets. The graph displays the return to be made by taking ...
    
2. Capital Allocation Line (CAL) Definition | Investopedia
   A line created in a graph of all possible combinations of risky and risk-free assets. Also known as the "reward-to-variability ratio".
    
3. What is capital allocation line (CAL)? definition and meaning
   Definition of capital allocation line (CAL): A visual representation of different return scenarios when considering risky and risk-free investments. The line ...
    
4. 1. The Capital Allocation Line Expected Return - Jose M. Marin
   The line given by (8) is called the capital allocation line (CAL). When P is a market-index portfolio, the line is called the capital market line (CML). • Where is the ...
    
5. What are the differences between capital allocation line CAL and ...
   What are the differences between capital allocation line CAL and capital market line CML? In: Business & Finance, Investing and Financial Markets, Stock ...
    
6. Capital Allocation Between A Risk-Free Asset And A Risky Asset ...
   Capital Allocation Line (CAL). The investment quality of a 2-asset portfolio is determined by the proportion of the risky asset to the risk-free asset. If this portfolio ...
    
7. Risk Aversion and Capital Allocation to Risky Assets
   This straight line is called the capital allocation line (CAL). It depicts all the risk- return combinations available to investors. The slope of the CAL, S, equals the ...
    
8. Review of the Capital Allocation Line (CAL) The points on the CAL ...
   Oct 21, 2011 ... Review of the Capital Allocation Line (CAL). 1. • rf. σP. • P. ErP. P (its composition ,. ErP and σP) and rf are given. BKM07. The points on the CAL ...