Terms Beginning With 'r'

Reward-to-Risk ratio

  • January 07, 2020
  • Team Kalkine

Reward-to-Risk ratio generally reflects the reward that an investor can earn for taking an additional unit of risk over the risk-free rate in the market. Reward-to-Risk ratio is an infamous measure to reckon the expected rate of returns by suggesting the amount of risk an investor must bear to earn the additional unit of profit.

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