Input Needed to Develop New Guidance on Company-Specific Risk
This is an update on new guidance being developed by The Appraisal Foundation’s Business Valuation Resources Panel’s Work Group on Company-Specific Risk Premia (CSRP). It needs input from practitioners on this topic.
BV News and Trends August 2021
A monthly roundup of key developments of interest to business valuation experts.
Surprising results in private cost of capital survey
Over half (58%) of privately held business owners believe their cost of equity is less than or equal to 12%, according to the “2021 Private Capital Markets Report” from Pepperdine University Graziadio School of Business and Management.
New paper on CEO tenure and firm value
If you’re valuing a business with a CEO who has been in that job for 20 years, is that a positive or a negative?
New Pepperdine report on private cost of capital released
The “2021 Private Capital Markets Report” is now available from the Pepperdine University Graziadio Business School.
D&P/Kroll survey of cost of capital inputs
During a recent Duff & Phelps (a Kroll business) webinar, the audience was polled on various valuation and cost of capital topics.
Ghaidarov Offers a New Framework for DLOM
Ghaidarov, who has published papers related to option price models for estimating a discount for lack of marketability (DLOM), presents a new concept for illiquidity discounts.
Reminder: Please take our DLOM survey
BVR is conducting a short survey that examines the methodologies and specific tools practitioners use to estimate DLOM.
CSRP working group needs input
The Appraisal Foundation’s Business Valuation Resources Panel’s Work Group on Company-Specific Risk Premia (CSRP) is seeking input via survey to understand how valuation practitioners address such premia within their valuations.
DLOM for a 100% interest in a private company?
One-third of valuation practitioners apply a discount for lack of marketability to a 100% interest in a private company, and 50% say “maybe,” reveals preliminary results of BVR’s DLOM survey.
BV News and Trends June 2021
A monthly roundup of key developments of interest to business valuation experts.
Global BV News and Trends June 2021
Business valuation news from a global perspective.
Size effect is ‘fiction,’ Damodaran reiterates
“There has been no size premium for the past 40 years,” said Professor Aswath Damodaran (New York University Stern School of Business), who has been called the “Dean of Valuation.”
Reminder: Please take a survey about company-specific risk
BVWire is pleased to present a survey by The Appraisal Foundation’s Business Valuation Resources Panel’s Work Group on Company-Specific Risk Premia to understand how valuation practitioners address such premia within their valuations.
Reminder: Please take a survey about company-specific risk
BVWire is pleased to present a survey by The Appraisal Foundation’s Business Valuation Resources Panel’s Work Group on Company-Specific Risk Premia to understand how valuation practitioners address such premia within their valuations.
Please take a survey about company-specific risk
BVWire is pleased to present a survey by The Appraisal Foundation’s Business Valuation Resources Panel’s Work Group on Company-Specific Risk Premia to understand how valuation practitioners address such premia within their valuations.
Age- and gender-specific risk? A new paper says it exists
We’d like to be a fly on the wall the first time a valuation expert testifies that his or her company-specific risk factor was adjusted for the age and gender of the subject firm’s top managers.
Company-Specific Risk Is Not All That Specific
All firms face company-specific risks, many of which are somewhat similar across industries and companies. So is anything really company-specific? An alternative method eliminates the need to totally guess at the company-specific risk premium.
BV News and Trends May 2021
A monthly roundup of key developments of interest to business valuation experts.
Global BV News: Discrepancy in data breach data
Data breaches reported to the UK Financial Conduct Authority (FCA) dropped by 30% between 2019 and 2020, the regulator says.
BVU News and Trends April 2021
A monthly roundup of key developments of interest to business valuation experts.
Mercer addresses court acceptance of the QMDM for DLOM
During a recent BVR webinar, an audience member asked about the track record in court of the quantitative marketability discount model (QMDM) for determining a discount for lack of marketability (DLOM).
Today! Third and final part of ‘Integrated Theory’ webinar series
A very special BVR webinar series concludes today with the authors of Business Valuation: An Integrated Theory, Z. Christopher Mercer and Travis W. Harms (both with Mercer Capital).
Pepperdine private cost of capital survey is open
A BVWire poll found that 40% of respondents use the Pepperdine Private Capital Markets Reports for estimating small private-company cost of capital.
Reminder: Take the Pepperdine private cost of capital survey
The Pepperdine Private Capital Markets Project conducts an annual survey of expected rates of return with respect to private companies.