Risk and Return for Regulated Industries

Description

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. Content: Endorsements Continued From Back Cover,Front Matter,Copyright,Foreword,Acknowledgment,Dedication,DisclaimerEntitled to full textChapter 1 - Motivation: Why a Book Now on the Required Rate of Return?, Pages 1-13 Chapter 2 - Legal Foundations and Regulatory Frameworks for a Fair Return, Pages 15-33 Chapter 3 - Financial Asset Pricing Principles, Pages 35-50 Chapter 4 - The Capital Asset Pricing Model and Variations, Pages 51-95 Chapter 5 - Discounted Cash Flow Models, Pages 97-116 Chapter 6 - Multifactor and Other Cost of Capital Estimation Models, Pages 117-135 Chapter 7 - Effects of Capital Structure on Cost of Capital, Pages 137-164 Chapter 8 - Approaches to Rate Base Measurement, Pages 165-199 Chapter 9 - Rate of Return Practices in Use, Pages 201-225 Chapter 10 - Asymmetric Risk: Theory and Examples, Pages 227-269 Chapter 11 - Emerging Issues and Implications for Cost of Capital, Pages 271-307 Appendix A - Features That Affect Capital Structure, Pages 309-312 Appendix B - Further Reading on Approaches to Rate Base Measurement, Page 313 Bibliography, Pages 315-328 Glossary of Terms, Pages 329-331 Index, Pages 333-339