Real

(redirected from Inflation Adjusted)
Also found in: Dictionary, Thesaurus, Medical, Legal, Encyclopedia.

Real

Used in the context of general equities. (1) natural, (2) not dividend roll-or program trading-related; (3) not tax-related. "Real" indications have three major repercussions: a) pricing will be more favorable to the other side of the trade since an investment bank is not committing any capital; b) price pressure will be stronger if real since a natural buyer/seller may have information leading to his decision or more behind it, and c) an uptick may be required for the trader to transact if the indication is not real and the trader has no long position.

Real

1. Describing a variable that takes inflation into account. For example, when considering GDP growth, if GDP has grown 10% in dollar terms, and the inflation rate is 3%, real GDP growth is only 7%. See also: Nominal.

2. See: Tangible.
References in periodicals archive ?
Vietnam War: Cost: $111 billion, Inflation Adjusted Cost: $698 billion
This formula did not apply one year's escalation in the CPI against the already inflation adjusted rent, but rather, applied each year the total accumulated inflation index from the commencement of the lease term.
The new inflation adjusted option will include versions from three leading insurance companies including AIG(R), MetLife(R) and the Principal Financial Group(R).
However, the new fund differs from its predecessor, Inflation Adjusted Bond.
The increase results from adjustments to the delivery charge while the Standard Offer Service energy charge remains unchanged allowing customers to retain the inflation adjusted 15 percent savings required by the deregulation law.