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In the CFAI material, Corporate Finance book, page 47:
7.4 Risk Analysis of Capital Investments
The book identifies two equilibrium models for estimating Market Risk: CAPM and Arbitrage Pricing Theory (APT). The book goes on to explain the application of CAPM and the SML for this topic in corporate finance. But the book never again mentions (APT). Can I assume it is not going to be tested? I find it weird that the book identifies it as a model to estimate the risk premium but does not go into explanation. Let me know what you think.