How to use this calculator
- Enter risk-free-rate assumption (%), equity beta, market-return assumption (%).
- Choose a display currency, then select Calculate. Results also update after a brief pause while you edit.
- Read the result with the assumptions below. Export details or save a second scenario to compare your choices.
Formula and method
Assumptions and limitations
All rates and beta are entered by the user; market estimates, leverage and estimation windows affect the result.
Worked example
With risk-free-rate assumption (%) = 3, equity beta = 1.2, market-return assumption (%) = 8, capm required return is approximately 9%.
What the result means
CAPM is a model based on assumptions about systematic risk, not a promised investment return.
Common questions
How should I interpret capm required return?
CAPM is a model based on assumptions about systematic risk, not a promised investment return.
What should I check before using this result?
All rates and beta are entered by the user; market estimates, leverage and estimation windows affect the result.
Methodology and transparency
Calculation specification reviewed on 2026-10-14. Mathematical implementation is tested against independent reference fixtures. This does not imply review by a licensed financial professional. Read the testing and precision policy.