A forum member asked me this great question; "If the CML plots well-diversified portfolios, and well-diversified portfolios have no idiosyncratic risk, then isn't the CML also a plot of systematic risk (aka, beta)? Put another way, doesn't the CML already map to the SML?" My response is here [ Ссылка ]

This mathematically explains why my favorite summary distinction of the difference between the CML and SML is this: the CML plots only (the most) efficient portfolios, but the SML plots all portfolios (including inefficient portfolios). I hope that's interesting!

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Risk Foundations (FRM Topic 1)
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Financial Markets and Products: Intro to Derivatives (FRM Topic 3, Hull Ch 1-7)
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Financial Markets and Products: Option Trading Strategies (FRM Topic 3, Hull Ch 10-12)
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