Survey: Market Risk Premium and Risk-Free Rate used for 88 countries in 2021

17 Pages Posted: 16 Jun 2021

See all articles by Pablo Fernandez

Pablo Fernandez

IESE Business School

Sofia Bañuls

University of Navarra, IESE Business School

Pablo Fernandez Acin

Independent

Date Written: June 6, 2021

Abstract

This paper contains the statistics of a survey about the Risk-Free Rate (RF) and the Market Risk Premium (MRP) used in 2021 for 88 countries. We got answers for 92 countries, but we only report the results for 88 countries with more than 6 answers. Many respondents use for European countries a RF higher than the yield of the 10-year Government bonds. The coefficient of variation (standard deviation / average) of RF is higher than the coefficient of variation of MRP for the Euro countries. The paper also contains the links to previous years surveys, from 2008 to 2020.

Keywords: equity premium; required equity premium; expected equity premium; risk-free rate; survey

JEL Classification: G12, G31, M21

Suggested Citation

Fernandez, Pablo and bañuls, sofia and Fernandez Acin, Pablo, Survey: Market Risk Premium and Risk-Free Rate used for 88 countries in 2021 (June 6, 2021). IESE Business School Working Paper , Available at SSRN: https://ssrn.com/abstract=3861152 or http://dx.doi.org/10.2139/ssrn.3861152

Pablo Fernandez (Contact Author)

IESE Business School ( email )

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HOME PAGE: http://web.iese.edu/PabloFernandez/

Sofia Bañuls

University of Navarra, IESE Business School ( email )

Avenida Pearson 21
Barcelona, 08034
Spain

Pablo Fernandez Acin

Independent ( email )

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