Information Market Capitalization Risk Premium 
Musings on Markets
JANUARY 10, 2025
Thus, as you peruse my historical data on implied equity risk premiums or PE ratios for the S&P 500 over time, you may be tempted to compute averages and use them in your investment strategies, or use my industry averages for debt ratios and pricing multiples as the target for every company in the peer group, but you should hold back.
Musings on Markets
JANUARY 5, 2024
The numbers that I computed opened my eyes to how much perspective on the high, low, and typical values, i.e., the distribution of margins, helped in valuing the company, and how little information there was available, at least at that time, on this dimension. Beta & Risk 1. Equity Risk Premiums 2. Return on Equity 1.
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Musings on Markets
JANUARY 9, 2021
Finally, fair or not, companies in developed and more liquid markets are in the spotlight more than their counterparts in emerging markets. While some of the companies in this data trace their existence back decades, there is a healthy proportion of younger companies, many in emerging markets and new industries.
Musings on Markets
JANUARY 6, 2023
To obtain company-level information, you needed to find its annual reports in physical form and for industry-level data, you were dependent on services that computed and reported industry averages, such as Value Line and S&P. I do report on a few market-wide data items especially on risk premiums for both equity and debt.
Musings on Markets
JANUARY 19, 2022
I do believe that too much is often made of these differences, as it is generally more the rule than the exception that markets, when they are up strongly, get the bulk of that rise from a small sub-set of stocks or sectors. In 2021, you saw a return to more normal times, with markets in each country affected more by local factors.
Musings on Markets
JANUARY 8, 2022
In the last decade, as tech companies have expanded their reach into our personal lives, collecting information on choices and decisions that used to private, big data has become not just a buzzword, but also a justification for investing billions in companies/projects that have no discernible pathway to profitability, but offer access to data.
Musings on Markets
FEBRUARY 16, 2024
In another story that made the rounds in recent weeks, 23andMe, a genetics testing company that offers its customers genetic and health information, based upon saliva sample, found itself facing the brink, after a hacker claimed to have hacked the site and accessed the genetic information of millions of its customers.
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