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Risk-Adjusted Discount Rate |
Also found in: Acronyms | 0.01 sec. |
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Risk-adjusted discount rate The rate established by adding a expected risk premium to the risk-free rate in order to determine the present value of a risky investment. Risk-Adjusted Discount Rate The discount rate calculated by adding a risk premium to the risk-free rate of return. This is used to calculate the rate of return on a risky investment. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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