The equity premium (also called market risk premium, equity risk premium, market premium and risk premium), is one of the most important, discussed but elusive parameters in finance. The term equity premium is used to designate four different concepts (although many times they are mixed):...

En este documento se valoran varias emisiones de bonos bolsa (un tipo de bonos estructurados) emitidos en Espantilde;a. Estis instrumentos financieros son la combinacioacute;n de un bono y una o maacute;s opciones.I value several issues of 'bonos bolsa' issued in Spain. These instruments are the...

En este documento se muestra coacute;mo utilizar la simulacioacute;n para valorar opciones y otros instrumentos financieros. Tambieacute;n se muestra coacute;mo se ha de realizar la simulacioacute;n para, al valorar opciones, obtener el mismo resultado que con la foacute;rmula de Black y Scholes.MBA...

The PER is the most commonly used parameter in the stock market. The PER is the result of dividing the equity market value by the company's profit after tax.The PER depends on a number of factors, some of which are out of the company's control, such as variations in interest rates, and others...

This document tries to answer to a frequent question of students and clients: are Finance and Financial Economics the same thing? My answer is NO: I think that they are very different, although the terms are very often confused and many Finance professor positions in many Business Schools have...

The average Market Risk Premium (MRP) used in 2011 by professors for the USA (5.7%) is higher than the one used by analysts (5.0%) and companies (5.6%). The standard deviation of the MRP used in 2011 by analysts (1.1%) is lower than the ones of companies (2.0%) and professors (1.6%). Most...

The average MRP used by analysts in the USA (5.1%) was similar to the one used by their colleagues in Europe (5.0%). But the average MRP used by companies in the USA (5.3%) was smaller than the one used by companies in Europe (5.7%), and UK (5.6%).The dispersion of the MRP used was high, but...

The average Market Risk Premium (MRP) used in 2010 by professors in the USA (6.0%) was higher than the one used by their colleagues in Europe (5.3%). We also report the MRP used for 33 countries: the average MRP used in 2010 ranges from 3.6% (Denmark) to 10.9% (Mexico). 29% of the professors...

This paper contains the statistics of a survey about the Risk-Free Rate (RF) and the Market Risk Premium (MRP) used in 2018 for 59 countries. We got answers for 73 countries, but we only report the results for 59 countries with more than 5 answers.The change between 2015 and 2018 of the average...

The most used methods for valuing companies by Cash Flow Discounting are equity cash flow, free cash flow, capital cash flow and APV (Adjusted Present Value). Only APV does not require iteration All four methods, if properly applied, always give the same value. This result is logical, as all the...