risk-free
21Risk-free rate — The rate earned on a riskless asset. The New York Times Financial Glossary …
22risk-free asset — also: riskless asset An asset whose future normal return is known today with certainty. Bloomberg Financial Dictionary …
23risk-free rate — The rate earned on a riskless asset. Bloomberg Financial Dictionary …
24risk free rate — interest rate for a property that has certain profit …
25Risk aversion — is a concept in psychology, economics, and finance, based on the behavior of humans (especially consumers and investors) while exposed to uncertainty. Risk aversion is the reluctance of a person to accept a bargain with an uncertain payoff rather …
26-free — [friː] suffix without something, often something that you do not want: • Earnings will be tax free if the money remains on deposit for seven years. • Heathrow Airport gets more money from duty free sales than from landing fees. • The casino will… …
27Risk adjusted return on capital — (RAROC) is a risk based profitability measurement framework for analysing risk adjusted financial performance and providing a consistent view of profitability across businesses. The concept was developed by Bankers Trust in the late 1970s. Note,… …
28Risk arbitrage — Risk arbitrage, or merger arbitrage, is an investment or trading strategy often associated with hedge funds. Two principal types of merger are possible: a cash merger, and a stock merger. In a cash merger, an acquirer proposes to purchase the… …
29Risk premium — A risk premium is the minimum amount of money by which the expected return on a risky asset must exceed the known return on a risk free asset, in order to induce an individual to hold the risky asset rather than the risk free asset. Thus it is… …
30Risk-neutral measure — In mathematical finance, a risk neutral measure, is a prototypical case of an equivalent martingale measure. It is heavily used in the pricing of financial derivatives due to the fundamental theorem of asset pricing, which implies that in a… …
