Hi

I created this website as an effective mode of communication with my current and past students. I will share my thoughts on corporate valuation in this website. In addition, I will also share some spreadsheet tricks that are particularly useful to finance professionals. 

Implied Equity Risk Premium in India (Computed on 4 August, 2017) is 5.52%. It was 10.06% exactly a year ago. The historical average of ERP is 9.71% (arithmetic average) and 6.15% (geometric average). For computing the historical average, I used the time period 1980-2014. 


Something Interesting

Investing in Infosys: Just now I realized this while preparing the teaching note for FM1. Had somebody invested Re1 in Infosys in 1993, he would have got Rs.15,516 today. Over the same period, a 1 rupee investment in gold would have given us Rs.3.64. 

Interesting Statistics on Credit Card: In 2006, the credit card industry got $55bn in credit card fees and $90bn in finance charges (late payment fees). Now you know why they love customers who delay in the payments. 

Tossing a Penny: The head on the American penny weighs more and hence if you toss a penny 10,000 times, you will most likely get head 49% of the time and tail 51% of the time. So always choose tail while betting. :)