William Blair Emerging Markets Smal... (WESJX)
|Growth in perpetuity method:|
|Long-term growth rate|
|Free cash flow (t + 1)||-|
|Present Value of Terminal Value||-|
Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of William Blair Emerging Markets Small Cap Growth Fund R6 Class’s cash flows after that period (if we don’t include this, we would have to assume that William Blair Emerging Markets Small Cap Growth Fund R6 Class stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.