This board has been migrated to our new platform! Check out the new home page at discussion.fool.com or click below to go directly to the new Board on the new site.
The number is based on the prevailing risk-free rate (i.e. 10 year treasury) plus an estimated risk premium..I think the discount rate should always be the average of an index plus a premium, which is more than T-bonds. Otherwise you're better off putting your money in the index. The premium is for the chance you do worse by hand-picking.Mark
Best Of |
Favorites & Replies |
My Fool |