Busıness Fınance I Deneme Sınavı Sorusu #859851

Which of the following is defined as "the excess return required on a risky asset over that earned on a risk-free asset"?


Variance

Risk premium

Excess return

Return premium

Average return 


Yanıt Açıklaması:

Risk-free return is the rate of return that investors require to invest in risk free investments in that environment. The short term T-Bill rate is usually used to measure it. The Risk premium is the return in excess of the risk-free rate that investors require to compensate for the risk of an investment.

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