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Risk-Free Rate of Return in Financial Formulas
Risk-Free Rate of Return is the interest rate an investor can expect to earn on an investment that carries zero risk. And is denoted by R
f
.
Financial formulas that make use of Risk-Free Rate of Return
f
x
Put-Call Parity
Go
FAQ
What is the Risk-Free Rate of Return?
Risk-Free Rate of Return is the interest rate an investor can expect to earn on an investment that carries zero risk.
Can the Risk-Free Rate of Return be negative?
{YesorNo}, the Risk-Free Rate of Return, measured in {OutputVariableMeasurementName} {CanorCannot} be negative.
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