Asset values are computed using the discounted cash flow approach and the following inputs: 

Thus, we have

P_{i,t}=\sum_{t=1}^T \frac{CF_t}{(1+r_{i,t})^t}

with   P_t the price of asset  i at time   tCF_1\dots CF_T the stream of future payouts, and  r_{i,t} the discount rate for asset  i at time  t.

Here,  r_{i,t} is the combination of the term structure of risk-free rates in each period   t until investment horizon T and the risk premia \hat{\gamma_i} estimated for asset  i.

As described here, \hat{\gamma_i} is a company specific risk-premia, computed as the combination of asset  i's risk factor exposures at the time of valuation or  \beta_{i,t} and the market price of each risk factor \lambda_t  estimated from observable market prices.