Do Lower Interest Rates Really Justify High Equity Prices?Rupert Hargreaves
A debate that has been raging across Wall Street for the past few months is the question of whether or not low bond yields justify higher stock prices. The roots of this argument are to be found in the equity risk premium and the Fed Model, two equity valuation models that rely heavily on bond yields (risk-free rate) to produce a fair value calculation for stocks.
Global bond yields - Why are they Collapsing Now?
Deutsche Bank’s analysts were some of the first to draw attention to . . .
This content is exclusively for paying members.
If you are subscribed and having an account error please clear cache and cookies if that does not work email firstname.lastname@example.org or click chat.