Discard CAPM – There Is A Better Way To Think About Cost Of Equity
By Erik Kobayashi-Solomon, Managing Director – Framework Investing The first rule of modern finance – that a dollar today is worth more than a dollar tomorrow – is an elegant first principle that underlies project financing as well as bond and equity investing. This industry is projected to double in size from $22 billion to an estimated $44 billion Get Our Activist Investing Case Study! Get The Full Activist Investing Study In PDF We respect your email privacy However, in equity investing, the tactical implementation of this elegant principle – the rate used in discounted cash flow analyses – is...