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What is risk premium?

What is risk premium?
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What is risk premium?

User Sergei Voronezhskii
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2 Answers

8 votes
It is the rate of return on an investment over and above the risk-free or guaranteed rate of return
User Lennert
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13 votes

Answer:

risk premium

Step-by-step explanation:

A risk premium is a measure of excess return that is required by an individual to compensate for being subjected to an increased level of risk.

User Cpatrick
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