Regulatory Risk And The Cost Of Capital
DOWNLOAD
Download Regulatory Risk And The Cost Of Capital PDF/ePub or read online books in Mobi eBooks. Click Download or Read Online button to get Regulatory Risk And The Cost Of Capital book now. This website allows unlimited access to, at the time of writing, more than 1.5 million titles, including hundreds of thousands of titles in various foreign languages. If the content not found or just blank you must refresh this page
Regulatory Risk And The Cost Of Capital
DOWNLOAD
Author : Burkhard Pedell
language : en
Publisher: Springer Science & Business Media
Release Date : 2006-04-20
Regulatory Risk And The Cost Of Capital written by Burkhard Pedell and has been published by Springer Science & Business Media this book supported file pdf, txt, epub, kindle and other format this book has been release on 2006-04-20 with Business & Economics categories.
Austrian Controller Award 2005 This book develops a comprehensive concept of regulatory risk integrating existing theoretical and empirical research. The focus is on explaining how the design of the regulatory system influences the risk of a rate-regulated firm, as well as on elaborating appropriate methods for the determination of the regulatory rate base and the allowed rate of return. Regarding the regulatory rate base, the question of whether market value of capital or book value of assets should be employed and the choice of the depreciation scheme are at the center of the discussion. Specific methodical issues concerning cost of capital assessment for rate-regulated firms are analyzed, i.e. the circularity of rate regulation, the sharing of risks between capital owners and rate payers, the length of the regulatory review period, the regulation of the capital structure as well as the conversion of a post-tax to pre-tax weighted average cost of capital.
A Few Things Transport Regulators Should Know About Risk And The Cost Of Capital
DOWNLOAD
Author : Ian Alexander
language : en
Publisher: World Bank Publications
Release Date : 1999
A Few Things Transport Regulators Should Know About Risk And The Cost Of Capital written by Ian Alexander and has been published by World Bank Publications this book supported file pdf, txt, epub, kindle and other format this book has been release on 1999 with Capital costs categories.
A methodology for measuring the cost of capital, calculating the measure of market risk, and estimating the impact of various regulatory regimes on market risk in the transport sector.
A Few Things Transport Regulators Should Know About Risk And The Cost Of Capital
DOWNLOAD
Author : Ian Alexander
language : en
Publisher:
Release Date : 2016
A Few Things Transport Regulators Should Know About Risk And The Cost Of Capital written by Ian Alexander and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2016 with categories.
A methodology for measuring the cost of capital, calculating the measure of market risk, and estimating the impact of various regulatory regimes on market risk in the transport sector.In reviewing contracts, establishing price limits, or arbitrating conflicts, regulatory agencies and policy advisors face significant information asymmetry in determining the appropriate allowed rate of return, or discount rate. The information gap is especially important in determining the degree of market risk - often a critical component of the cost of capital demanded by operators.Alexander, Estache, and Oliveri consider various methodological problems in the transport sector in establishing the link between regulatory regime and degree of market risk. The results of quantitative studies confirm that even for the transport sector - where there is intermodal competition and where contracts are often shorter and regulatory decisions may be less pressing than for utilities - the choice of regulatory regime greatly affects the degree of market risk a company faces. This has important implications for regulatory agencies and actions.When a regulatory agency undertakes a price review, or when issues arise about concession contracts, it is important that regulators assess correctly the required rate of return and cost of capital. They must also assess correctly the level of risk, which affects the required rate of return and the cost of capital.Most regulators in developing countries have a problem: The regulated companies are unquoted or undertake many activities for a range of industries and even sectors. For them this methodology for measuring the cost of capital, calculating the measure of market risk, and estimating the impact of various regulatory regimes on market risk may be useful.This paper - a product of Governance, Regulation, and Finance, World Bank Institute - is part of a larger effort in the institute to increase understanding of infrastructure regulation.
Risk And Return For Regulated Industries
DOWNLOAD
Author : Bente Villadsen
language : en
Publisher: Academic Press
Release Date : 2017-04-27
Risk And Return For Regulated Industries written by Bente Villadsen and has been published by Academic Press this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017-04-27 with Business & Economics categories.
Risk and Return for Regulated Industries provides a much-needed, comprehensive review of how cost of capital risk arises and can be measured, how the special risks regulated industries face affect fair return, and the challenges that regulated industries are likely to face in the future. Rather than following the trend of broad industry introductions or textbook style reviews of utility finance, it covers the topics of most interest to regulators, regulated companies, regulatory lawyers, and rate-of-return analysts in all countries. Accordingly, the book also includes case studies about various countries and discussions of the lessons international regulatory procedures can offer. Presents a unified treatment of the regulatory principles and practices used to assess the required return on capital Addresses current practices before exploring the ways methods play out in practice, including irregularities, shortcomings, and concerns for the future Focuses on developed economies instead of providing a comprehensive global reviews Foreword by Stewart C. Myers
International Convergence Of Capital Measurement And Capital Standards
DOWNLOAD
Author :
language : en
Publisher: Lulu.com
Release Date : 2004
International Convergence Of Capital Measurement And Capital Standards written by and has been published by Lulu.com this book supported file pdf, txt, epub, kindle and other format this book has been release on 2004 with Bank capital categories.
Risk Principles For Public Utility Regulators
DOWNLOAD
Author : Janice A. Beecher
language : en
Publisher: MSU Press
Release Date : 2016-05-01
Risk Principles For Public Utility Regulators written by Janice A. Beecher and has been published by MSU Press this book supported file pdf, txt, epub, kindle and other format this book has been release on 2016-05-01 with Business & Economics categories.
Risk and risk allocation have always been central issues in public utility regulation. Unfortunately, the term “risk” can easily be misrepresented and misinterpreted, especially when disconnected from long-standing principles of corporate finance. This book provides those in the regulatory policy community with a basic theoretical and practical grounding in risk as it relates specifically to economic regulation in order to focus and elevate discourse about risk in the utility sector in the contemporary context of economic, technological, and regulatory change. This is not a “how-to” book with regard to calculating risks and returns but rather a resource that aims to improve understanding of the nature of risk. It draws from the fields of corporate finance, behavioral finance, and decision theory as well as the broader legal and economic theories that undergird institutional economics and the economic regulatory paradigm. We exist in a world of scarce resources and abundant uncertainties, the combination of which can exacerbate and distort our sense of risk. Although there is understandable impulse to reduce risk, attempts to mitigate may be as likely to shift risk, and some measures might actually increase risk exposure. Many of the concepts explored here apply not just to financial decisions, such as those by utility investors, but also to regulatory and utility decision-making in general.
Regulatory Risk Economic Principles And Applications To Natural Gas Pipelines And Other Industries
DOWNLOAD
Author : A. Lawrence Kolbe
language : en
Publisher: Springer Science & Business Media
Release Date : 2012-12-06
Regulatory Risk Economic Principles And Applications To Natural Gas Pipelines And Other Industries written by A. Lawrence Kolbe and has been published by Springer Science & Business Media this book supported file pdf, txt, epub, kindle and other format this book has been release on 2012-12-06 with Business & Economics categories.
It is common to assert that utility investors are compensated in the allowed rate of return for the risk of large disallowances, such as arise for investments found imprudent or not `used and useful'. However, this book develops a new theory of asymmetric regulatory risk that shows that infallible estimates of the cost of capital are sure to provide downward-biased estimates of the necessary allowed rates of return in the presence of such regulatory risks. The book uses the new theory of regulatory risk to understand recent developments in the risk of natural gas pipelines and other regulated industries.
Regulatory Finance
DOWNLOAD
Author : Howard E. Thompson
language : en
Publisher: Springer Science & Business Media
Release Date : 2012-12-06
Regulatory Finance written by Howard E. Thompson and has been published by Springer Science & Business Media this book supported file pdf, txt, epub, kindle and other format this book has been release on 2012-12-06 with Business & Economics categories.
This monograph is concerned with the determination of the allowed rate ofreturn in rate cases which, in part, determines the rates ofcharge to customers of public utilities. Rate of return determination has been a central topic in utility regulation for a century. Recent changes in the traditionally regulated markets - electricity, gas, and telephone - have shoved discussion of rate of return determination into the background, replacing it by technology changes, competition, downsizing, deregulation, and reg'ulatory incentive systems. These new issues have made the regula tory sector, which had the reputation of being stodgy and uninteresting, an exciting field ofstudy. But rate ofreturn is not dead. It will playa key role in whatever the new structure ofthe regulated sector. Separating generation from transmis sion and distribution will not eliminate the need for rate of return analysis in the electric utility industry. Rather, it may well increase the number of companies for which the rate of return needs to be determined. It will playa fundamental role in the new regulatory environment. Incentive systems in the regulated sector may be the wave of the future but they will use the required rate ofreturn as a benchmark. Rate case will persist. Most rate cases include opposing testimony as to the "fair" rate of return or even the cost ofcapital for a public utility whose rates are at issue.
Assessing The Cost Of Financial Regulation
DOWNLOAD
Author : Douglas Elliott
language : en
Publisher: International Monetary Fund
Release Date : 2012-10-05
Assessing The Cost Of Financial Regulation written by Douglas Elliott and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2012-10-05 with Business & Economics categories.
This study assesses the overall impact on credit of the financial regulatory reforms in Europe, Japan, and the United States. Long-term cost estimates are provided for Basel III capital and liquidity requirements, derivatives reforms, and higher taxes and fees. Overall, average lending rates in the base case would rise by 18 bps in Europe, 8 bps in Japan, and 28 bps in the United States. These results are similar to the official BIS assessments of Basel III and an OECD analysis, but lower as a result of including expense cuts and reductions in the returns required by investors. As a result, they are markedly lower than those of the IIF.
Estimating The Costs Of Financial Regulation
DOWNLOAD
Author : Mr.Andre Santos
language : en
Publisher: International Monetary Fund
Release Date : 2012-09-11
Estimating The Costs Of Financial Regulation written by Mr.Andre Santos and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2012-09-11 with Business & Economics categories.
Staff Discussion Notes showcase the latest policy-related analysis and research being developed by individual IMF staff and are published to elicit comment and to further debate. These papers are generally brief and written in nontechnical language, and so are aimed at a broad audience interested in economic policy issues. This Web-only series replaced Staff Position Notes in January 2011.