Consumer Prices Index and Return: Difference between pages

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''Inflation measures.''
The surplus of the amount received back from an investment, compared with the initial amount invested.  


(CPI).
To facilitate comparisons, return is usually expressed as a percentage of the initial amount invested, often as an effective annual rate of return.


1. ''UK.''
When expressed on this basis, the rate of return is also known as 'yield'.


The Consumer Prices Index is a measure of inflation in the UK, calculated as the change from month to month in the prices of a standard basket of consumer goods and services.


The UK's official measure of inflation index is the Consumer Prices Index including owner occupier's housing costs (CPIH). The CPIH is comprised of the CPI plus a measure of the costs associated with owner occupiers' housing (OOH).  
Returns can be negative.  


Negative returns mean that the amounts received back from an investment are less than the amounts initially invested.


The UK CPI replaced the Retail Prices Index (RPI).


The UK CPI was previously known as the Harmonised Index of Consumer Prices (HICP).
== See also ==
*[[Effective annual rate]]
*[[Holding period return]]
*[[Performance spread]]
*[[Portfolio investment]]
*[[Rate of return]]
*[[Rewarded risk]]
*[[Risk]]
*[[Total return]]
*[[Yield]]


 
[[Category:Corporate_finance]]
2. ''USA.''
 
The Consumer Price Index is one of the leading inflation indices used in the US.
 
Its uses include the limited indexation of certain US pensions.
 
 
3.
 
More generally, a consumer prices index is a statistical estimate constructed using the prices of a defined sample of representative consumer items, such as goods and services, whose prices are collected periodically. 
 
The index is compared to a base period to give an estimate of periodic inflation rates.
 
 
 
==See also==
 
* [[Cost of living adjustment]]
* [[CPIH]]
* [[Harmonised index of consumer prices]]
* [[Index numbers]]
* [[Inflation]]
* [[Inflation target]]
* [[Office for National Statistics]]  (ONS)
* [[Output price index]]
* [[Producer Price Index]]
* [[Retail Prices Index]]
* [[Services Producer Price Index]]
* [[Treasury inflation-indexed securities]]
 
 
==External link==
*[https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/consumerpriceinflation/previousReleases UK consumer price inflation - Office for National Statistics]
 
[[Category:Knowledge_and_information_management]]
[[Category:The_business_context]]

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.


See also