Why should I choose AnalystNotes?

Simply put: AnalystNotes offers the best value and the best product available to help you pass your exams.

Basic Question 2 of 8

What is the primary consideration when using the historical approach for estimating ERP?

A. Market sentiment
B. Current market conditions
C. Length of the historical period
D. Expected future cash flows

User Contributed Comments 0

You need to log in first to add your comment.
Thanks again for your wonderful site ... it definitely made the difference.
Craig Baugh

Craig Baugh

Learning Outcome Statements

explain historical and forward-looking approaches to estimating an equity risk premium;

CFA® 2025 Level II Curriculum, Volume 3, Module 18.