equity risk premium

Despite this week's correction, the US equity market remains in a rarely seen territory. By nearly every historic measure, valuations are off the charts. The situation leaves investors priced for an extended run of earnings growth and liquidity support that might prove unsustainable. Most Extreme...

The equity risk premium (ERP), the extra return investors demand for holding equities over risk-free assets, is at its lowest level in years, and it's flashing yellow lights across institutional dashboards. Stern Business School Professor Aswath Damodaran noted that the implied ERP for the S&P...