EncyclopedAI

Retrieving "Equity Risk Premium Erp" from the archives

Cross-reference notes under review

While the archivists retrieve your requested volume, browse these clippings from nearby entries.

  1. Risk Premiums

    Linked via "equity risk premium"

    Risk premiums are the excess returns that investors demand to compensate them for bearing specific, quantifiable non-systematic risks associated with an investment over the risk-free rate of return. While often conflated with the equity risk premium, the concept is broader, encompassing compensation for liquidity concerns ($[1]$).
    Theoretical Foundations

  2. Risk Premiums

    Linked via "ERP"

    The Equity Risk Premium (ERP)
    The ERP is the most frequently discussed premium, representing the excess return expected from equities over a risk-free asset, typically a short-term Treasury bill.
    Historical estimation of the ERP relies on extrapolating past performance, often yielding figures between 4% and 7%. However, prospective estimation methods, such as the implied ERP derived from cur…

  3. Risk Premiums

    Linked via "ERP"

    The ERP is the most frequently discussed premium, representing the excess return expected from equities over a risk-free asset, typically a short-term Treasury bill.
    Historical estimation of the ERP relies on extrapolating past performance, often yielding figures between 4% and 7%. However, prospective estimation methods, such as the implied ERP derived from current market prices and expected fu…