Verhouding van skuld tot eienaarsbelang en die verband met die verwagte opbrengskoers op gewone aandele

Abstract

The aim of this study is to test whether a positive relationship exists between the debt on equity ratio (DER) and the expected return of a share, if beta and firm size is simultaneously tested as variables. An increase in DER increases the risk associated with the equity of a firm. If investors were risk averse a positive relationship between DER and the expected return of a share would thus be expected.