inflation risk
1Inflation risk — Also called purchasing power risk, the risk that changes in the real return the investor will realize after adjusting for inflation will be negative. The New York Times Financial Glossary * * * inflation risk inflation risk ➔ risk1 * * * The… …
2inflation risk — Also called purchasing power risk, the risk that changes in the real return the investor will realize after adjusting for inflation will be negative. Bloomberg Financial Dictionary * * * inflation risk inflation risk ➔ risk1 * * * The risk… …
3Inflation-indexed bond — Inflation indexed bonds (also known as inflation linked bonds or colloquially as linkers) are bonds where the principal is indexed to inflation. They are thus designed to cut out the inflation risk of an investment. [ Unfortunately, income taxes… …
4inflation-proof — inˈflation ˌproof adjective FINANCE an inflation proof investment is not affected by rising prices, or rises in value faster than prices do: • Real estate values have surged 5% to 10%, fueled by investors who are looking for inflation proof… …
5Risk — Typically defined as the standard deviation of the return on total investment. Degree of uncertainty of return on an asset. The New York Times Financial Glossary * * * ▪ I. risk risk 1 [rɪsk] noun 1. [countable, uncountable] the possibility that… …
6risk — (1) Noun The possibility of loss. (2) Noun The uncertainty of whether events, expected or otherwise, will have an adverse impact. In this context, the adverse impact is usually a quantity of return ( income) or value at risk. (3) Noun the… …
7Inflation — This article is about a rise in the general price level. For the expansion of the early universe, see Inflation (cosmology). For other uses, see Inflation (disambiguation). Inflation rates around the world in 2007 …
8Inflation derivatives — In finance, inflation derivatives (or inflation indexed derivatives) refer to over the counter and exchange traded derivatives that are used to transfer inflation risk from one counterparty to another. Typically, real rate swaps also come under… …
9Inflation Swap — A derivative used to transfer inflation risk from one party to another through an exchange of cash flows. In an inflation swap, one party pays a fixed rate on a notional principal amount, while the other party pays a floating rate linked to an… …
10Inflation tax — An inflation tax is an analogous pejorative for the economic disadvantage suffered by holders of cash and cash equivalents in one denomination of currency due to the effects of inflation, which acts as a hidden tax that subtracts value from those …
