The latest cost of capital infographic from Kroll has the firm’s recommended U.S. equity risk premium reaffirmed at 5.5% when developing USD-denominated discount rates. But the global economic picture is such that “equity risk premia is likely to come down,” notes Carla Nunes, managing director, Valuation Digital Solutions/Office of Professional Practice at Kroll. The infographics, which include global market data and key economic metrics, also now include long-term real GDP and inflation forecasts.
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