William Sharpe

William Sharpe is an influential American economist best known for developing the Capital Asset Pricing Model (CAPM), which helps investors understand the relationship between risk and expected return on investments. His work has significantly impacted finance and investment theory, earning him the Nobel Prize in Economic Sciences in 1990. Additionally, he introduced the Sharpe Ratio, a measure used to evaluate the performance of an investment by adjusting for its risk. Sharpe's contributions have been vital in shaping modern portfolio management and helping investors make informed decisions in uncertain markets.