The role of cost of capital estimates in the optimization of capital structure for Brazilian firms

• Grant number: 11/23090-0
• Support Opportunities: Research Projects - Thematic Grants
• Start date: June 01, 2012
• End date: May 31, 2017
• Field of knowledge: Applied Social Sciences - Administration - Business Administration
• Principal Investigator: Antonio Zoratto Sanvicente
• Grantee: Antonio Zoratto Sanvicente
• Host Institution: Escola de Economia de São Paulo (EESP). Fundação Getúlio Vargas (FGV). São Paulo , SP, Brazil
• Associated researchers: Adriana Bruscato Bortoluzzo ; Anderson Luis Saber Campos ; Ricardo Dias de Oliveira Brito ; Senichiro Koshio ; Wilson Toshiro Nakamura

Abstract

The project focuses on the identification of relevant risk factors and the estimation of risk premia using capital market data in the computation of the cost of capital for business firms. From these estimates and the identification of determining factors in the choice of capital structure, the project is concerned with the optimization of capital structure in business firms. (AU)