Wed, Feb 16, 2022

COVID-19 and the Path to Recovery � Lessons Learned About Cost of Capital

Our industry experts Carla Nunes, CFA, and James P. Harrington were speakers at the AICPA & CIMA Forensic & Valuation Services Conference in Las Vegas in November 2021.

COVID-19 has had a profound and ongoing impact on financial markets and economies around the world. The recession that ensued was the worst since World War II, but the recovery has been fast by historical patterns in places like China and the U.S. due to the unprecedented support provided by monetary and fiscal policies. This session covers some key trends and their impact on cost of capital assumptions and related valuation considerations.

COVID-19 and the Path to Recovery — Lessons Learned About Cost of Capital

Key Learnings

  • Understand the impact of fiscal policy on real GDP growth during the COVID-19 pandemic and subsequent recovery
  • Learn the impact of major central banks’ monetary policies on safe-haven government bond yields
  • Identify industries most impacted by the pandemic and those benefitting from the recovery
  • Evaluate the adjustments that may be needed for projected growth in cash flows and discount rates