Take a look at the primary differences between an investor's required rate of return and an issuing company's cost of capital ...

The risk-free rate of return is one of the most basic components of modern finance. The risk-free asset only applies in theory, but its actual safety rarely comes into question until events fall ...

If an investment adviser touts an impressive average rate of return, be very wary, because losses can “hide” among the gains and hinder your financial success. Let’s explore the meaning of ...

A rate of return can be backfitted into your portfolio ... For example, let's say your risk tolerance score recommends you build a balanced portfolio of 60% stocks and 40% bonds.

is the difference between the expected return on a market portfolio and the risk-free rate. The market risk premium is equal to the slope of the security market line (SML), a graphical ...

The average 401(k) rate of return ranges from 5% to 8% per year for ... as is common for many investors who can afford more risk -- you'll typically earn higher average returns.