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WACC
WACC is the weighted average cost of capital. It is the minimum return that a company must earn to satisfy all the stakeholders (viz lenders and shareholders) who give money to the company. Lenders demand
April 23, 2023
Govt Debt Sustainability vis a vis GDP Growth
Basic rule is that nominal GDP growth should be more than the interest rate for govt debt to not balloon. If the interest rate in a country is 6% then the nominal GDP growth rate
April 23, 2023
Inflation and Investing
Two main ideas to keep in mind about inflation’s impact on money and other assets are: a) ‘Real’ assets keep getting more expensive. Hence owning real assets is better than owning cash.b) Cash keeps losing
April 22, 2023
