Cross Border WACC

Building on the basic WACC calculations, this session will review the added complexity of companies operating in emerging markets. In addition, this program will assess the WACC of companies operating and financed across different jurisdictions.

• Emerging markets: country bond default spreads and risk premiums
• Measuring country risk exposure
• Estimating country risk premium
• Implied equity risk premium – pros and cons (data availability)
• Relative equity market approach
• Cost of equity approaches
• Unrated companies and synthetic ratings
• Real vs. nominal returns
• Adjusting cash flows for risk rather than discount rates; i.e. estimating risk associated with generating cash flow
• Assessing risk profile of a company based on revenues generated across different regions