.63

You are working on an equity valuation model. Based on historical trends and current market conditions, you expect the dividend-payout ratio will be 56% and that long-term government bond rates will rise to 5.2%. Because investors are becoming more risk averse, the equity risk premium will rise to 4.9%. The return on equity is expected to be 13%. What is the implied growth rate? Report your answer in decimal format rounded to four decimal places. Ex. .123456 should be reported as ".1235")