risk premiums

A form of risk premium — The return on investment in excess of the (theoretical) risk-free rate of return that an investment is expected to yield: the extra benefit that an investor either gets or hopes to get in exchange for taking a risk. (Often measured by proxy measures such as aggregate corporate earnings compared with interest rates on certain benchmark bonds that stand in for risk-free securities.)

Ask AI about this wordChatGPTClaudePerplexityGoogle AIGrok

Meanings

noun
  1. pluralplural of risk premium
Cite this entry
APA

risk premiums. (n.d.). In WatkinsX Dictionary. Retrieved November 4, 2026, from https://dictionary.watkinsx.com/word/risk%20premiums

MLA

“risk premiums.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/risk%20premiums. Accessed November 4, 2026.

Chicago

WatkinsX Dictionary, s.v. “risk premiums,” accessed November 4, 2026, https://dictionary.watkinsx.com/word/risk%20premiums.

Source: risk premiums on Wiktionary, CC BY-SA 4.0.