The traditional formula for the cost of equity ... Under this model, Cost of Equity = Risk-Free Rate of Return + Beta × (Market Rate of Return – Risk-Free Rate of Return).

IGSB offers a low equity beta and a yield to maturity of 4.98%. Read why IGSB ETF provides the best portfolio diversification vs. other fixed income ETFs.

The CAPM formula is: Cost of Equity = Risk-Free Rate + (Beta * Market Risk Premium) Several factors influence the cost of equity. These include the company’s financial performance, market ...