) Intertemporal CAPM (ICAPM) framework. Factors associated with alternative profitability measures forecast the equity premium in a … market volatility, thus being consistent with their positive prices of risk. The investment-based factors are also strong … with state variables that are more correlated with future investment opportunities or economic activity. Moreover, these …

to explain the profitability premium. We find that risk-based q-theory also helps explain the profitability premium …. Therefore, the profitability premium comes from a mixed source and cannot be entirely explained by a single theory. …In this study, we show that changes in profitability predict a firm's stock returns and future profitability. We …

Whether you are an investment professional managing billions of dollars or an individual investor with a small nest egg … fundamental value. Finally, it outlines the building blocks of liquidity theory and explains how you can use them to predict the … direction of the stock market. "Charles Biderman, a savvy and battle-scarred veteran of the investment wars, has fashioned an …