definition of crossed beta and the net risk premium ratio that stems from it. The latter fulfils the axioms of risk … portfolio weights. In order to fulfil this gap we answer three questions: which is the minimum risk premium that justifies …/reward performance measures. The three answers to the questions are related to the net risk premium. The analysis in developed for the …

exposure to systematic mispricing can bias tests of risk-return tradeoffs. Controlling for systematic mispricing, we recover …Systematic mispricing primarily affects speculative stocks and predominantly results in overpricing, predicting lower … robust positive risk-return relations for many cross-sectional risk proxies, including low-risk and distress anomalies. We …