Equilest

JANUARY 1, 2023

Have you wondered what Levered-Beta is? Because of the Levered-Beta (Known also as the Leveraged Beta). . Because of the Levered-Beta (Known also as the Leveraged Beta). . What is Beta? Beta describes the firm's sensitivity to what is happening in the market. For a company with a beta equal to 1.5,

Beta 40

Beta Unlevered Beta Systematic Risk Equity 40

Andrew Stolz

AUGUST 5, 2020

Definition of the Cost of Equity. To compensate for the risks that shareholders take, firms pay them in return. The theoretical return the firm pays its equity investors (shareholders) is known as the cost of equity. In other words, the cost of equity is the rate of returns a firm pays to its shareholders.

Equity 52

Equity Risk-free Rate Dividends Beta 52

Andrew Stolz

AUGUST 5, 2020

If an investor moves money from the risk-free asset into the stock market, they should expect to earn a return in excess of the risk-free rate, what is called an equity risk premium. Investments are exposed to two types of risk: systematic and unsystematic. beta of a stock). E(r) = Rf + ??(Rm

Risk-free Rate 52

Risk-free Rate Beta Weighted Average Cost of Capital Risk Premium 52

Andrew Stolz

AUGUST 6, 2020

Beta is the risk statistic used to compare the portfolio’s exposure to systematic risk to that of the market. The beta of the portfolio is calculated by multiplying the beta of each asset to its weight in the portfolio. Beta of Asset A * Weight of Asset A) + (Beta of Asset B * Weight of Asset B).

Beta 52

Beta Covariance Systematic Risk Marketability 52

Valutico

APRIL 17, 2023

WACC considers the costs associated with different components of a firm’s capital structure, such as debt, equity, and preferred stock, and weighs them according to their proportion. It is a metric used to calculate the Cost of Capital for a company based on its specific financing mix (debt, equity and/or preference shares).

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Valutico

APRIL 17, 2023

WACC considers the costs associated with different components of a firm’s capital structure, such as debt, equity, and preferred stock, and weighs them according to their proportion. It is a metric used to calculate the Cost of Capital for a company based on its specific financing mix (debt, equity and/or preference shares).

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52

Valutico

APRIL 12, 2023

WACC considers the costs associated with different components of a firm’s capital structure, such as debt, equity, and preferred stock, and weighs them according to their proportion. It is a metric used to calculate the Cost of Capital for a company based on its specific financing mix (debt, equity and/or preference shares).

Weighted Average Cost of Capital 52

Weighted Average Cost of Capital Discounted Cash Flow Beta Risk-free Rate 52