Abstract
The equity risk premium is a vital tool in a variety of applications, including portfolio management, financial analysis and corporate valuation. However, it is complex to estimate and must be used with meticulous care. Issue 30 of Quants, written by Richard Dalaud and Gilbert Soubie, presents a model of the risk premium of the French equity market. The authors lay equal emphasis on the estimation methods used to compute the premium and on the caution needed when putting it to practical use.
Volume
30
Year
1998
Categories
RPP1
Publications
Quants
