Expansionary Policy in the 21st Century: Unconventional monetary policy and its effect on equity valuation
Over the past two decades several central banks have to varying extent and over different periods used unconventional monetary policy in order to govern stubbornly low inflation rates. As policy rates decrease to near zero or even negative levels for prolonged periods of time, the risk premium on financial markets as well as the cost of debt is altered. This thesis examines how equity valuations o