Bridge over ocean
4 February 2011 Multimedia

Equity Risk Premiums

  1. Clifford S. Asness

Clifford S. Asness discusses a recent roundtable meeting on the equity risk premium (ERP) where forecasts for the future ERP were below historical levels. Reasons for this may be that previous levels were an accident or that valuations are just too high. He also discusses questions about mean reversion and the predictive power of valuations and gives his thoughts on the equity risk puzzle, the biggest drivers for ERP, and the effectiveness of quantitative models.

The Take 15 Series is a series of short interviews with leading practitioners on timely topics focused on the investment profession.

We’re using cookies, but you can turn them off in Privacy Settings.  Otherwise, you are agreeing to our use of cookies.  Accepting cookies does not mean that we are collecting personal data. Learn more in our Privacy Policy.