This suggests that such factors induce an upward bias estimate of the market risk premium when using an Ibbotson-type or forward-looking method for the NZ premium.Lally, MMarsden, AlastairSocial ence Electronic PublishingLally, M., and Marsden, A. 2004. Estimating the market risk premium in ...
There are several methods used to calculate the market risk premium, each with its own advantages and limitations. These methods aim to estimate the additional return that investors require for taking on the systematic risk associated with investing in the market. Here are three commonly used calcul...
This paper develops an estimator for a country's market risk premium that involves optimally combining an estimator based upon only local data and the cross-country average of these estimators. The analysis suggests that the usual practice of invoking only local data to estimate a country's market...
题目 Your estimate of the market risk premium is 7%. The risk-free rate of return is 4% and General Motors has a beta of 1.6. What is General Motors' cost of equity capital? A.15.2%B.14.4%C.16.0%D.13.7% 相关知识点: 试题来源: 解析 A 反馈 收藏 ...
A is correct.Using the CAPM relationship of,we can estimate the expected return as:B is incorrect because the expected return is computed as 0.05 + (0.08 – 0.05)(1.5) = 9.5%.C is incorrect because the expected return is computed as 0.08 + (0.05)(1.5) = 15.5%.【释义】此题考查CAPM的...
How to Calculate Expected Return With Beta & Market Risk Premiums Image Credit:stocksnapper/iStock/GettyImages You can use thecapital asset pricing model, or CAPM, to estimate the return on an asset -- such as a stock, bond, mutual fund or portfolio of investments -- by examining the asse...
a以上材料共计5000张,安排从香港出货,预计9月15日到曼谷 Above material total 5000, arrange from Hong Kong to produce goods, estimate on September 15 to Bangkok[translate] a所谓黑莓手机(Blackberry),是指由加拿大Reserach In Motion,简称RIM公司推出的一种无线手持邮件解决终端设备。 So-called black raspbe...
(CAPM)to calculate the expected return of an asset. A beta of 1.0 indicates a stock has market risk identical to the broader S&P 500, while a beta greater than 1 means that the asset is more volatile than the market. Beta can be used to estimate the market risk of a portfolio by ...
We develop and estimate an empirical model based o... H Guo,RF Whitelaw - 《Nber Working Papers》 被引量: 0发表: 0年 Global risk factors in the returns of listed private equity A one-factor asset pricing model using world stock market returns as the only possible risk factor is ...
C. Given the data above, the return estimate is correct. 正确答案:A 分享到: 答案解析: The expected return on the market during the upcoming year is 14% (7% risk-free rate plus the expected 7% market risk premium). As such, the 12.5% estimate does not match the data. The most ...