price of risk

Apr 01

Oil, War and the Global Economy: The Market's Narrative in March 2026

Aswath Damodaran

Markets play an expectations game, and in March 2026, we saw the process play out, with all of its upsides and downsides. The month started with a war in the Middle East, which quickly percolated into soaring oil prices and dropping stock prices, but the overwhelming factor was uncertainty about...

crisis equity risk premiums price of risk

Mar 15

The Price of Risk: An Equity Risk Premium Monologue!

Aswath Damodaran

I start my valuation classes with a question of whether valuation is an art or a science, and I argue that it is neither; it does not have the precision that characterizes a science and unlike an art, it does come with principles that constrain you on what you can and cannot do. I describe...

equity risk premiums price of risk small cap premium