Return: Difference between revisions
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The surplus of the amount received back from an investment, compared with the initial amount invested. | 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, | To facilitate comparisons, return is usually expressed as a percentage of the initial amount invested, often as an effective annual rate of return. | ||
When expressed on this basis, the rate of return is also known as 'yield'. | When expressed on this basis, the rate of return is also known as 'yield'. | ||
Revision as of 13:44, 25 June 2016
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, often 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.
