Value Scope

JULY 21, 2020

Intangible asset valuation concepts can and should be applied to unique ESG cash flows. This work can be used to reconcile and support an adjustment to the CAPM, then the WACC, via Alpha and Beta. Obviously the lower the discount rate, the higher the valuation, all other items held constant. million to $271.5

Intangible Assets 130

Intangible Assets Beta Alpha Unlevered Beta 130

Valutico

APRIL 25, 2023

We performed a detailed linear regression analysis, considering the betas and credit spread of listed companies, regressed against their ESG scores, for the universe of listed companies globally. The higher the ESG score, the higher the Cost of Capital discount, which results in a lower overall Cost of Capital and thus a higher valuation.

Discounted Cash Flow 52

Discounted Cash Flow Equity Beta Alpha 52

Valutico

APRIL 25, 2023

We performed a detailed linear regression analysis, considering the betas and credit spread of listed companies, regressed against their ESG scores, for the universe of listed companies globally. The higher the ESG score, the higher the Cost of Capital discount, which results in a lower overall Cost of Capital and thus a higher valuation.

Discounted Cash Flow 52

Discounted Cash Flow Equity Beta Alpha 52

Value Scope

SEPTEMBER 24, 2020

As companies continue to legitimately integrate ESG into business strategy, the ability to achieve “alpha,” which is an excess return or performance above a codified index or peer group, might become more difficult to do. Obviously the lower the discount rate, the higher the valuation, all other items held constant. million to $271.5

Intangible Assets 130

Intangible Assets Alpha Beta Marketability 130