Terms Beginning With 'r'

Risk-Free Rate

  • January 22, 2020
  • Team Kalkine

Theoretically, It refers to the rate of return on an investment that pose no risk of loss of capital and a return on the principal. Generally, it is utilised as the benchmark for assessing the relative risk and return profiles of the other asset classes. And, the market participants refer to sovereign bonds as the source of risk-free rates.

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