Improved cost of capital analyses: The Duff & Phelps Risk Premium Calculator set to go live

BVWireIssue #100-3
January 19, 2011

Last week BVWire announced the development of the Duff & Phelps Risk Premium Calculator.  This week we have the distinct pleasure of providing a few more details as well as the links to the product pages.  The web-based Calculator, designed by Roger Grabowski and James Harrington, returns four Cost of Equity computations (one that is unlevered) along with a 20+ page Executive Summary which can be included in your valuation report.  The Calculator features a built-in Risk Free Rate lookup based on your valuation date and makes an industry risk premium adjustment should you choose to account for it.  Grabowski and Harrington have also built functionality into the Calculator that analyzes and reports on high financial risk companies – one of many features never previously available in any risk premium tool on the market.
By far the most superior risk premium tool ever available to valuation practitioners, BVR offers two subscription levels of the Calculator: for $399/year the Calculator includes two years of data (including the most current year).  Or, there’s a new low-cost version of the Calculator that includes all historical data for valuation dates from 1995 to 2010 (the 2011 report is targeted for release on March 1). Both subscription options include a newly revamped and easy-to-use PDF of the most current year’s report.  

D&P users also get free registration for two exclusive webinars: Jim Harrington will demo the D&P Calculator on February 8 at 10 a.m. PT/1 p.m. ET and Roger Grabowski will discuss the 2011 D&P Risk Premium Report and its underlying data on March 1 at 10 a.m. PT/1 p.m. ET.  More information to follow…
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