Return: Difference between revisions
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imported>Doug Williamson (Align with qualifications material.) |
imported>Doug Williamson (Name rates of return expressly.) |
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The surplus of the amount received back from an investment, | The surplus of the amount received back from an investment, compared with the initial amount invested. To facilitate comparisons, return is usually expressed as a percentage of the initial amount invested, most commonly as an effective annual rate of return. | ||
When expressed on this basis, return is also known as 'yield'. | When expressed on this basis, the rate of return is also known as 'yield'. | ||
Returns can be negative. Negative returns mean that the amounts received back from an investment are less than the amounts initially invested. | Returns can be negative. Negative returns mean that the amounts received back from an investment are less than the amounts initially invested. |
Revision as of 07:12, 31 October 2015
The surplus of the amount received back from an investment, compared with the initial amount invested. To facilitate comparisons, return is usually expressed as a percentage of the initial amount invested, most commonly as an effective annual rate of return.
When expressed on this basis, the rate of return is also known as 'yield'.
Returns can be negative. Negative returns mean that the amounts received back from an investment are less than the amounts initially invested.