Cost of Capital

International Cost of Capital Module

Includes three datasets that can be used to develop, augment and support your own custom analyses: (i) International Cost of Capital Inputs, (ii) International Industry Benchmarking and (iii) International Company-Level Betas.

The International Cost of Capital Inputs dataset provides country risk premia, relative volatility factors, risk-free rates, equity risk premia, and more that can be used to estimate cost of capital globally, with data going back to 2014. Our tool guides users step-by-step through the process of estimating cost of capital internationally, allowing either Kroll's data or custom inputs to be incorporated into the analyses.

The International Industry Benchmarking dataset provides global industry-level inputs needed to estimate cost of capital and industry-level benchmarks that can be used to augment and support custom analyses. Comprehensive global industry-level statistics presented in a concise, consistent, and clear format for over 200 industries in four global regions, with data going back to 2015.

The International Company-Level Betas dataset and tool provide users with the ability to identify and select their own peer group of individual companies within a subject industry for which a Capital Asset Pricing Model (CAPM) beta is needed. The dataset provides levered, unlevered, and relevered betas for those individual companies, with data going back to 2014. Users can select multiple companies using Kroll’s company look-up tool to calculate five different beta estimates and perform sensitivity analysis using different currencies, stock return frequencies, lookback periods, and market indices.

 

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International Cost of Capital Module

International Cost of Capital Inputs Dataset
International Cost of Capital Inputs Dataset
International Cost of Capital Inputs Dataset
International Industry Benchmarking Dataset
International Cost of Capital Inputs Dataset
International Company-Level Betas Dataset
  • Country risk premia (CRPs) for 175+ countries
  • Relative volatility (RV) factors for 70+ countries
  • Risk-free rates
  • Equity Risk Premium (ERPs)
  • European Size Premia
  • Long-term inflation expectations
  • Statutory tax rates
  • 200+ industries analyzed each quarter
  • Cost of equity, cost of debt and WACC estimates
  • Performance statistics and ratio analysis
  • Valuation multiples
  • Levered and Unlevered Betas
  • Capital structure inputs
  • 35,000+ Companies located in 110+ countries
  • 140+ currencies
  • 30+ equity market indices in the MSCI universe
  • Levered, Unlevered, and Relevered Betas
  • Statistical Quality of Betas
  • Company-Level Metrics

Estimating cost of capital in developed countries, where a relative abundance of market data and comparable companies exist, requires a high degree of expertise. Estimating cost of capital in less-developed countries (i.e., “emerging markets”) can present greater challenges, primarily due to lack of data and potentially higher political, economic, and financial risks. The International Cost of Capital Module provides a simplified framework to mitigate the challenges of performing cross-border valuations and pricing risk across countries. The International Module includes three models to assess country risk, alternatives when local country inputs are not available or reliable, and advanced guidance and documentation. Outlined below is a global country risk map illustrating risk across countries, as well as summary country risk data by region as indicated by the various country risk models used in this dataset.

Global Heat Map - Country Risk

 

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Frequently Asked Questions

It is Kroll’s global platform providing country risk premia, equity risk premia, and industry‑level data to support cost of capital estimates across international markets.