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Risk adjusted return |
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Risk adjusted returnOften we subtract from the rate of return on an asset a rate of return from another asset that has similar risk. This gives an abnormal rate of return that shows how the asset performed over and above a benchmark asset with the same risk. We can also use the beta against the benchmark to calculate an alpha, which is also risk-adjusted performance.Risk adjusted returnReturn earned on an asset normalized for the amount of risk associated with that asset.Risk adjusted return Similar MatchesNet adjusted present valueNet adjusted present valueThe adjusted present value minus the initial cost of an investment. Risk adjusted profitabilityRisk adjusted profitabilityA probability used to determine a "sure" expected value (sometimes called a certainty equivalent) that would be equivalent to the actual risky expected value. Adjusted debit balance (ADB)Adjusted debit balance (ADB)The account balance for a margin account that is calculated by combining the balance owed to a broker with any outstanding balance in the special miscellaneous account, and any paper profits on short accounts. Risk adjusted discount rateRisk adjusted discount rateThe rate established by adding a expected risk premium to the risk-free rate in order to determine the present value of a risky investment. Adjusted gross income (AGI)Adjusted gross income (AGI)Gross income less allowable adjustments, is the income on which an individual is taxed by the federal government. Further Suggestionsadjusted earningsAdjusted for inflation Adjusted balance method Adjusted Gross Income Seasonally adjusted Adjusted present value (APV) Adjusted basis Adjusted exercise price adjusted gross income Inflation adjusted |
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