risk premium
Frequency: 7.316.4 per million words
extra payment charged to cover a potential risk
Categories:
Examples (10)
- There's a risk premium of probably $10 a barrel built into oil prices.
- Investors demand a higher risk premium for volatile assets.
- The bond's risk premium reflects the issuer's creditworthiness.
- Calculating the appropriate risk premium is crucial for investment decisions.
- Equity risk premiums have been declining recently.
- Companies must factor in the risk premium when expanding into new markets.
- A higher perceived risk leads to an increased risk premium.
- The insurance policy includes a risk premium for extreme weather events.
- Many financial models incorporate a risk premium to account for uncertainty.
- She argued that the current market did not adequately compensate for the risk premium.