Discount rate for DCF model | The Investment Quadrant by The Fifth Person

Questions › Category: Valuation Quadrant › Discount rate for DCF model

Yancy Ong asked 5 years ago

Hi, to get the risk-free rate for Singapore context to calculate discounted cash flow, can I use the interest rate for the Singapore Savings Bonds as per the url below?
http://www.sgs.gov.sg/savingsbonds/Your-SSB/This-months-bond.aspx
Should I add up 10 years interest% and divide by 10 to find the average interest rate?
Thank you!

1 Answers

0 Vote Up Vote Down

Victor Chng answered 5 years ago

Hi Yancy,

You can use the CPF special account rate of 4%.