Valutico

FEBRUARY 13, 2025

In the world of finance and investing, the concept of beta plays a vital role in assessing an investment’s risk and volatility. Whether you’re a seasoned investor or new to the market, understanding beta can empower you to make informed decisions. What is beta and how do you calculate beta?

Beta 52

Beta Covariance Risk-free Rate Specific Risk 52

Andrew Stolz

AUGUST 5, 2020

When an investor buys a particular security, they consider the risk of that security relative to the riskiness of the overall market and adjust the equity risk premium up or down by using Beta. 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

Valutico

FEBRUARY 27, 2024

The WACC represents the overall cost of financing a company’s operations and is used to discount future cash flows to their present value. It represents the cost a company incurs to access funds through debt financing. It is the cost a company incurs for using equity capital to finance its operations and growth.

Discounted Cash Flow 52

Discounted Cash Flow Risk Premium Risk-free Rate Beta 52

Brian DeChesare

AUGUST 31, 2022

Convertible Arbitrage Definition: Convertible arbitrage is a relative value strategy in which a hedge fund profits based on the pricing discrepancy between a company’s convertible bonds and its underlying stock; the fund exploits changes in volatility, credit quality, and interest rates to make money while minimizing overall market risk.

Banking 89

Banking Risk-free Rate Equity Start-ups 89

Musings on Markets

JANUARY 28, 2024

In this post, I look at risk, a central theme in finance and investing, but one that is surprisingly misunderstood and misconstrued. That said, and notwithstanding decades of research and debate on the topic, there are still wide differences in how risk is defined and measured. What is risk?

Risk Premium 117

Risk Premium Beta Start-ups Equity 117

Musings on Markets

FEBRUARY 8, 2025

In the first five posts, I have looked at the macro numbers that drive global markets, from interest rates to risk premiums, but it is not my preferred habitat. A few years ago, I wrote a paper for practitioners on the cost of capital , where I described the cost of capital as the Swiss Army knife of finance, because of its many uses.

Risk Premium 72

Risk Premium Beta Start-ups Equity 72

Reynolds Holding

JANUARY 6, 2025

Singapore International Platform on Sustainable Finance Publishes Common Ground Taxonomy The International Platform on Sustainable Finance (IPSF) presented its Multi-Jurisdictional Common Ground Taxonomy (M-CGT) on November 14, which highlights the interoperability of the EU, China, and Singapore green taxonomies.

Treasury 45

Treasury Finance Banking Marketability 45