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Required Rate of Return
The minimum annual percentage return an investor expects to earn from an investment to consider it worthwhile.
Portfolio
A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including mutual, exchange-traded, and closed funds.
Market Risk Premium
The additional yield investors anticipate from maintaining a portfolio with inherent market risk rather than opting for assets free of risk.
Required Rate of Return
The minimum annual percentage return investors expect or demand from an investment, considering the risk involved.
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