Security-market-line meaning

The relationship between systemic risk and the expected return of an investment, depicted graphically. On the horizontal axis are the betas of the companies in the market and on the vertical axis are the required rates of return listed as a percentage. The return on the security market line says that the return on a security is equal to the risk-free rate of return plus the excess return on the market portfolio times the beta of the security.
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(finance) A line representing the relationship between expected return and systematic risk, thus a graphical representation of the CAPM. It is valid both for portfolios and individual assets.
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