The assumptions object
assumptions.init()
Initializes assumptions for your model. You can set a hierarchy of assumptions for structured relationships.
Example (Without Hierarchies)
assumptions.init({
"%growth_rate": "5%", # Strings that denote percentages are allowed
"historical_years": 10
})
Example (With Hierarchies)
assumptions.init({
"data": {
"%discount_rate": None,
"beta": data.get("profile:beta", default=1),
"%risk_free_rate": data.get("treasury:year10"),
"%market_premium": data.get("risk:totalEquityRiskPremium"),
},
"hierarchies": [{
"parent": "%discount_rate",
"children": ["beta", "%risk_free_rate", "%market_premium"]
}]
})
In this example, %discount_rate is the parent assumption, while
beta, %risk_free_rate and %market_premium are its children.
Note: Percentage assumptions, that start with %, can be
specified either through a string like "5%" or the value directly
0.05
assumptions.get()
Fetches the value of a specified assumption. Raises an error if None.
Example of using assumptions.get()
growth_rate = assumptions.get("%growth_rate") # Get the growth rate
assumptions.set()
This function sets the value of a specific assumption.
Example of using assumptions.set()
assumptions.set("%growth_rate", 0.07) # Set growth rate to 7%
assumptions.set_description()
Sets a description for assumptions, providing context or explanations.
Example of using assumptions.set_description()
assumptions.set_description({
"%growth_rate": "The expected annual growth rate of revenues."
})