Nominal risk-free rate

From CNM Wiki
Jump to: navigation, search

Nominal risk-free rate (quoted risk-free rate), r/RF, is the rate of interest on a security that is free of all risk; rRF is proxied by the T-bill rate or the T-bond rate; rRF includes an inflation premium.


Definitions

According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),

Nominal risk-free rate (quoted risk-free rate), r/RF. The rate of interest on a security that is free of all risk; rRF is proxied by the T-bill rate or the T-bond rate; rRF includes an inflation premium.

Related concepts

Related lectures