This approach based on the value of fully-capitalised earnings is the method commonly used by German auditors for corporate valuations. It is regularly used for company or tax law purposes.

As part of the revision of the principal standards issued by the Institut der Wirtschaftsprüfer in Deutschland e.V. – "IDW" (Institute of Public Auditors in Germany) the DEV method is now increasingly characterised by a capital market-oriented derivation of the discount rate.

CAPM, gearing and peer group analysis have emerged as important parameters to characterise the latest developments in the field of corporate valuation methods.

We will assist you in analysing these parameters and in implementing them in your valuation models. If required, we will also assist you in devising a suitable valuation model.

Contact us to discuss your options for the right solution.