Market Risk Premium
Barron's Accounting Dictionary:
Top
Market Risk Premium
Amount above the risk-free rate required to induce average investors to enter the market.
| Market Price, Market Index of Stock Prices, Market Cap (market capitalization) | |
| Market Share Variance, Market Size Variance, Market Timing |
Related Videos:
Top
Market Risk Premium
Investopedia Financial Dictionary:
Top
Market Risk Premium
The difference between the expected return on a market portfolio and the risk-free rate.
Investopedia Says:
It is equal to the slope of the security market line (SML).
Related Links:
Diversification? Optimal portfolio theory? Read this tutorial and these and other financial concepts will be made clear. Financial Concepts
Post a question - any question - to the WikiAnswers community:
Copyrights:
Barron's Accounting Dictionary
Dictionary of Accounting Terms. Copyright © 2010 by Barron's Educational Series, Inc. All rights reserved.
Read more
