Musings on Markets

FEBRUARY 8, 2025

In this context, the cost of capital become a measure of the cost of funding a business: In dividend decision s, i.e., the decisions of how much cash to return to owners and in what form (dividends or buybacks), the cost of capital is a divining rod. In data update 4 , I looked at movements in corporate default spreads during 2024.

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Global Finance

SEPTEMBER 9, 2024

Huge interest rate shifts and geopolitical uncertainties have prompted a major rethink by corporate treasurers as they steer their companies through an economic landscape that exposes them to risk and opportunity in equal measure. While that represents a 15% decrease from 2023, it suggests that a fear of business interruption persists. “So

Treasury

Musings on Markets

JANUARY 28, 2024

In short, if you don't like betas and have disdain for modern portfolio theory, your choice should not be to abandon risk measurement all together, but to come up with an alternative risk measure that is more in sync with your view of the world.

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