I am calculating the CAPM model of BlackRock share price. In particular the model is:
Rb=return BlackRock Rf= return risk free asset Rm = return SP500
Rb-Rf = intercept + B(Rm-Rf)
In my estimation the value of the intercept is not significant. This means that we accept the hypothesis that the intercept is equal to zero.
I can understand what tha intercept =0 mean but I cannot understand the implications of a value not significant in the model. Can anybody help me?