Risk Premium
A risk premium is the return in excess of the risk-free rate of return an investment is expected to yield; an asset's risk premium is a form of compensation for investors who tolerate the extra risk, compared to that of a risk-free asset, in a given investment.
← Return to the Knowledge LibraryMore Terms
- Correlation
- Derivatives
- Long/Short Strategy
- Syndication
- Options
- Interest Rate Swap
- Investment Universe
- PRIPPS
- Momentum Investing
- Round
- Beta
- Mutual Fund
- Government Bonds
- Master Limited Partnership
- Summary Risk Indicator
- Board of Directors
- IPO
- ESMA
- Fund Administrator
- REIT
- LATAM
- Yield to Maturity
- Risk Premium
- Closing