Valuation by simulation of cash flow

Jeffrey, G.

Valuation by simulation of cash flow - 1990 - Land & Minerals Surveying 8(2) February 1990, 70-77(4) .

Paper based on research carried out at Nottingham Polytechnic . It argues that traditional methods of investment valuation , those based on Years Purchase are not sufficiently objective. They only provide a single estimate of an investments value, which does not illustrate the risk to which the investment is exposed. simulations using probability models as an alternative method on the other hand, illustrate the complete range of possible outcomes.