Glossary

A glossary is a dictionary of terms specific to a certain subject. A biology textbook might have a glossary in the back, so you can quickly look up all those technical words.

Risk-Free Rate

Updated on 2023-08-29T11:58:42.836733Z

Theoretically, It refers to the rate of return on an investment that pose no risk of loss of capital and a return on the principal. Generally, it is utilised as the benchmark for assessing the relative risk and return profiles of the other asset classes. And, the market participants refer to sovereign bonds as the source of risk-free rates.