smalHistorical Implied Equity Risk Premiums

Data Used: Multiple data services

Data: Historical Implied Equity Risk Premiums for the US (See my paper on equity risk premiums for details)

Date: January 2026

Download as an excel file instead: https://www.stern.nyu.edu/~adamodar/pc/datasets/histimpl.xls

Year
Earnings 
Yield
Dividend 
Yield
S&P 500
Earnings*
Dividends*
T.Bond Rate
Smoothed 
Growth
Implied 
ERP       (FCFE)
1960
5.34%
3.41%
58.11
3.10
1.98
2.76%
2.45%
 
1961 4.71% 2.85% 71.55 3.37 2.04 2.35% 2.41% 2.92%
1962 5.81% 3.40% 63.1 3.67 2.15 3.85% 4.05% 3.56%
1963 5.51% 3.13% 75.02 4.13 2.35 4.14% 4.96% 3.38%
1964 5.62% 3.05% 84.75 4.76 2.58 4.21% 5.13% 3.31%
1965 5.73% 3.06% 92.43 5.30 2.83 4.65% 5.46% 3.32%
1966 6.74% 3.59% 80.33 5.41 2.88 4.64% 4.19% 3.68%
1967 5.66% 3.09% 96.47 5.46 2.98 5.70% 5.25% 3.20%
1968 5.51% 2.93% 103.86 5.72 3.04 6.16% 5.32% 3.00%
1969 6.63% 3.52% 92.06 6.10 3.24 7.88% 7.55% 3.74%
1970 5.98% 3.46% 92.15 5.51 3.19 6.50% 4.78% 3.41%
1971 5.46% 3.10% 102.09 5.57 3.16 5.89% 4.57% 3.09%
1972 5.23% 2.70% 118.05 6.17 3.19 6.41% 5.21% 2.72%
1973 8.16% 3.70% 97.55 7.96 3.61 6.90% 8.30% 4.30%
1974 13.64% 5.43% 68.56 9.35 3.72 7.40% 6.42% 5.59%
1975 8.55% 4.14% 90.19 7.71 3.73 7.76% 5.99% 4.13%
1976 9.07% 3.93% 107.46 9.75 4.22 6.81% 8.19% 4.55%
1977 11.43% 5.11% 95.1 10.87 4.86 7.78% 9.52% 5.92%
1978 12.11% 5.39% 96.11 11.64 5.18 9.15% 8.48% 5.72%
1979 13.48% 5.53% 107.94 14.55 5.97 10.33% 11.70% 6.45%
1980 11.04% 4.74% 135.76 14.99 6.44 12.43% 11.01% 5.03%
1981 12.39% 5.57% 122.55 15.18 6.83 13.98% 11.42% 5.73%
1982 9.83% 4.93% 140.64 13.82 6.93 10.47% 7.96% 4.90%
1983 8.06% 4.32% 164.93 13.29 7.12 11.80% 9.09% 4.31%
1984 10.07% 4.68% 167.24 16.84 7.83 11.51% 11.02% 5.11%
1985 7.42% 3.88% 211.28 15.68 8.20 8.99% 7.89% 3.84%
1986 5.96% 3.38% 242.17 14.43 8.19 7.22% 5.54% 3.58%
1987 6.49% 3.71% 247.08 16.04 9.17 8.86% 9.66% 3.99%
1988 8.20% 3.68% 277.72 24.12 10.22 9.14% 9.76% 3.77%
1989 6.80% 3.32% 353.4 24.32 11.73 7.93% 9.58% 3.51%
1990 6.58% 3.74% 330.22 22.65 12.35 8.07% 7.39% 3.89%
1991 4.58% 3.11% 417.09 19.30 12.97 6.70% 6.34% 3.48%
1992 4.16% 2.90% 435.71 20.87 12.64 6.68% 4.67% 3.55%
1993 4.25% 2.72% 466.45 26.90 12.69 5.79% 4.73% 3.17%
1994 5.89% 2.91% 459.27 31.75 13.36 7.82% 7.23% 3.55%
1995 5.74% 2.30% 615.93 37.70 14.17 5.57% 5.65% 3.29%
1996 4.83% 2.01% 740.74 40.63 14.89 6.41% 6.13% 3.20%
1997 4.08% 1.60% 970.43 44.09 15.52 5.74% 5.45% 2.73%
1998 3.11% 1.32% 1229.23 44.27 16.20 4.65% 4.60% 2.26%
1999 3.07% 1.14% 1469.25 51.68 16.71 6.44% 5.75% 2.05%
2000 3.94% 1.23% 1320.28 56.13 16.27 5.11% 3.71% 2.87%
2001 3.85% 1.37% 1148.09 38.85 15.74 5.05% 3.56% 3.62%
2002 5.23% 1.83% 879.82 46.04 16.08 3.81% 3.57% 4.10%
2003 4.87% 1.61% 1111.91 54.69 17.88 4.25% 5.35% 3.69%
2004 5.58% 1.60% 1211.92 67.68 19.407 4.22% 4.90% 3.65%
2005 5.47% 1.79% 1248.29 76.45 22.38 4.39% 6.16% 4.08%
2006 6.18% 1.77% 1418.3 87.72 25.05 4.70% 5.93% 4.16%
2007 5.62% 1.89% 1468.36 82.54 27.73 4.02% 5.03% 4.37%
2008 7.24% 3.11% 903.25 65.39 28.05 2.21% 2.11% 6.43%
2009 5.35% 2.00% 1115.10 59.65 22.31 3.84% 0.28% 4.36%
2010 6.65% 1.84% 1257.64 83.66 23.12 3.29% 3.33% 5.20%
2011 7.72% 2.07% 1257.60 97.05 26.02 1.88% 2.75% 6.01%
2012 7.18% 2.13% 1426.19 102.47 30.44 1.76% 2.93% 5.78%
2013 5.81% 1.96% 1848.36 107.45 36.28 3.04% 5.01% 4.96%
2014 5.49% 1.92% 2058.90 113.01 39.44 2.17% 2.77% 5.78%
2015 5.20% 2.11% 2043.94 106.32 43.16 2.27% 2.96% 6.12%
2016 4.86% 2.01% 2238.83 108.86 45.03 2.45% 2.64% 5.69%
2017 4.67% 1.86% 2673.61 124.94 49.73 2.41% 3.22% 5.08%
2018 5.92% 2.14% 2506.85 148.34 53.61 2.68% 3.24% 5.96%
2019 5.03% 1.82% 3230.78 162.35 58.80 1.92% 2.57% 5.20%
2020 3.72% 1.51% 3756.07 139.76 56.70 0.93% 0.74% 4.72%
2021 4.33% 1.24% 4766.18 206.38 59.20 1.51% 1.71% 4.24%
2022 5.72% 1.78% 3839.50 219.49 68.34 3.88% 5.59% 5.94%
2023 4.64% 1.47% 4769.83 221.36 70.07 3.88% 3.68% 4.60%
2024 4.14% 1.25% 5881.63 243.32 73.40 4.58% 4.61% 4.33%
2025 3.97% 1.15% 6845.50 271.52 78.51 4.18% 4.61% 4.23%

Update: Januaary 2026