An important difference between CAPM and APT is

CAPM depends on risk$-$relum dominance; APT depends on a no arbitrage condition, CAPM assumes marry small charges are required to bring the market buck to equilbrium; APT assumes a few large changes are required to bring the market back to equilibrium, implications for prices derived from CAPM arguments are stronger than prices derived from APT arguments.

$$ CAPM depends on risk$-$return dominance; APT depends on a no arbitrage condition.

CAPM assumes many small changes are required to bring the market back to equilibriums, APT assumes a few large changes are required to bring the market back to equilibrium.

implications for prices derlved from CAPM arguments are stronger than prices derived from APT arguments.

CAPM depends on risk$-$return dominance; APT depends on a no arbitrage co$/$dition and assumes many small changes are required to bring the market back to equilibrium.

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Nanect ore Mer $4$ at $11590m$

$1$ Hour, $12$ Minutes, $3$ Seconds