---
title: A FOMO-based Capital Asset Pricing Model
url: https://www.ml-quant.com/papers/ssrn/5276817/
site: ML-Quant (https://www.ml-quant.com)
updated: 2026-09-26
license: Summaries CC BY 4.0; links go to the original sources
index: https://www.ml-quant.com/llms.txt
identifier: SSRN 5276817
source_url: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=5276817
featured: 2025-06-04
citations: 0
topic: Asset Pricing & Factors
---


# A FOMO-based Capital Asset Pricing Model

The paper presents a Fear of Missing Out (FOMO) Capital Asset Pricing Model, suggesting that investors gain satisfaction from avoiding underperformance compared to their peers.

- Source: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=5276817
- Identifier: SSRN 5276817
- Released: 2025-05-31
- First featured: Quant Letter No. 100 (2025-06-04): https://www.ml-quant.com/issues/2025-06-04/
- Citations (Semantic Scholar): 0
- Published in: not yet
- Topic: Asset Pricing & Factors

## Related

- [Model complexity and the performance of global versus regional models](https://www.ml-quant.com/papers/ssrn/5241880/): Complex algorithms in global models outperform regional models in cross-sectional asset pricing, contradicting previous studies favoring regional methods.
- [How Election Shocks Impact Markets: Evidence from Sectoral Stock Prices](https://www.ml-quant.com/papers/arxiv/2504.02731/): Research indicates U.S. presidential election cycles impact sectoral stock markets, with candidate preferences influencing asset prices in energy, defense, and clean energy sectors.
- [Dynamic Factor Correlation Model](https://www.ml-quant.com/papers/arxiv/2503.01080/): A new model with a unique variation-free parameterization of factor loadings shows adaptability and scalability in both small and large asset return environments.
- [Optimal Investment and Consumption in a Stochastic Factor Model](https://www.ml-quant.com/papers/arxiv/2509.09452/): The article discusses optimal investment and consumption in an incomplete stochastic factor model, offering a comprehensive characterization of the problem's well-posedness and an efficient numerical algorithm for computing the value function.
- [The Cross-Section of Corporate Bond Returns](https://www.ml-quant.com/papers/ssrn/5130312/): A study of U.S. corporate bonds identifies four factors that provide strong return premiums after costs.
- [Are Penalty Shootouts Better Than a Coin Toss? Evidence From International Club Football in Europe](https://www.ml-quant.com/papers/arxiv/2510.17641/): Using UEFA penalty shootout data (2000–2025) we find outcomes are essentially random—no measurable advantage from kicking order, venue, momentum, or team strength.