Adjustment SSK-KS 28: New calculation of the capitalization rate and clarification regarding start-up companies

The calculation of the capitalization rate for determining the capitalized earnings value will be adjusted for valuations with balance sheet dates from 1 January 2021 onwards. In implementation of an expert opinion of the University of Zurich, the risk-free interest rate is based on the interest rate at which unitholders could invest money or take out a loan. The risk premium calculated annually is now derived from the risk premium of listed companies, taking into account the specific risk of non-listed companies and illiquidity. This will result in slightly higher capitalisation rates from 2021 onwards. Furthermore, the practice of valuing start-up companies has been more clearly described in para. 2 (5). It now reads: "[...] A market value is also based on prices paid by investors during financing rounds or capital increases. During the start-up phase of a company, however, these investor prices are not taken into account [...]".

The updated version of the circular letter is available here .