How has the normalized interest-rate environment changed IDW S1 valuations in practice — Basiszins, growth deduction, and the resulting valuation dynamics?

The Basiszinssatz under IDW S1 is derived from the Svensson yield curve on German government bonds, averaged over three months and rounded to quarter points. After sitting at or below zero through 2021, it normalized to the 2-3% range — mechanically lowering objectified company values versus the zero-rate years, with the biggest effect in the terminal phase. Practice points: the Basiszins is uniform and maturity-equivalent, taken before the growth deduction (Wachstumsabschlag) in the terminal value; the Wachstumsabschlag must be justified against inflation pass-through ability — in a higher-inflation world, an unchanged 0.5-1.0% deduction implies the company falls further behind inflation in real terms, so the consistency between assumed inflation, nominal growth and the deduction gets more auditor attention; and the market risk premium recommendation of the FAUB (currently in the 6-8% before personal taxes corridor) should not be stacked mechanically on the higher Basiszins without considering total-return consistency. For squeeze-outs and structural measures, the rate shift means date-of-valuation sensitivity is high — moving the valuation date can visibly move the compensation.