For distressed companies with highly uncertain cash flows, the discount rate (Fed policy) doesn't matter at all; you only care about binary 'will they survive' questions. This proves the finance principle: discount rate relevance is inversely proportional to cash flow uncertainty.

causalpending

Speaker

Mark Da

Evidence Quote

you buy a distressed company you don't care what the discount the fed the 10year treasury rate is all you care about are they going to make it

Source

The Crisis In Monetary Policy: It Doesn't Matter That Much | Mark DowForward Guidance
Created: 8/11/2026, 1:22:08 AM

My Notes

Loading notes...