can force the rate of return to fluctuate and result in decreasing returns. For an investor, the goal is to invest in a risk-free instrument, which is explained through the risk-free rate of return.

Opinions expressed by Forbes Contributors are their own. I write about the management of wealth, portfolios, and finances. “Risk” is a something of a loaded word, having a somewhat negative ...

Bonds may be known as a “safe haven” investment, but that doesn’t mean they are risk-free. But why exactly do bonds lose value when interest rates increase? It all boils down to a matter of ...

This risk-free rate is very important because it is used as the base for calculating the expected return for any investment. If you talk to equity research analysts, they will tell you of the ...

So what was all that talk about risk-free rates in undergraduate finance? The answer is that those were only nominally risk-free. And we should call it that for two reasons. The first is that it ...

A mortgage rate modification could make sense if your mortgage payments or current rate are higher than you'd like.

Fixed-rate HELOCs are a good option for many homeowners — but consider the current rate environment beforehand.

Inflation and interest rates tend to move in the same direction ... it effectively increases the level of risk-free reserves in the financial system, limiting the money supply available for ...

The prime rate is what a bank charges its very best, lowest-risk business customers. That ripples through to consumers in two ways, explained Marc Balcer, director of investment strategy with ...

Learn about the differences between the cost of capital and the discount rate as they relate to estimating a required return ...

Retirees and those approaching their final working years often rank safe investing over capital growth investments. Investors ...

The cumulative abnormal return (CAR) is a key metric used by investors and financial analysts to evaluate the actual ...