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John Moffat.
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richardscully
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Dear Sir
sorry to bother you again
In the asset beta calculation and the ungearing calculation where for exam purposes the debt beta is zero.
Where would I find the real debt betas and how to apply them
John Moffat
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Debt betas will not be zero in practice, but will always be very low.
Although equity betas are published, I don’t know of anyone who publishes debt betas – they are not really of any relevance to anyone anyway.
They would be applied in exactly the same way as equity betas – the debt beta would determine the return required by investors.
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