A community for students.
Here's the question you clicked on:
 0 viewing
Dax
 3 years ago
Hi,
I am trying to apply real option valuation to a non listed company. It’s a brine mining company. Now I wonder how to go about finding a relevant standard deviation. In case of a stock it is doable. But in this case I have only estimated future cash flows and need to come up with an idea about the volatility. I was thinking to make use of certain indexes for instance a Brine index, if it exists, as a proxy.
Thoughts on how to go about it are welcome!
Cheers, Sander
Dax
 3 years ago
Hi, I am trying to apply real option valuation to a non listed company. It’s a brine mining company. Now I wonder how to go about finding a relevant standard deviation. In case of a stock it is doable. But in this case I have only estimated future cash flows and need to come up with an idea about the volatility. I was thinking to make use of certain indexes for instance a Brine index, if it exists, as a proxy. Thoughts on how to go about it are welcome! Cheers, Sander

This Question is Closed
Ask your own question
Sign UpFind more explanations on OpenStudy
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.