rate of return
- noun the amount of interest or dividend which comes from an investment, shown as a percentage of the money invested
- The gain from an investment expressed as a percentage of the investment's principal amount. The rate of return for an interest yielding certificate of deposit or CD will usually be listed on an annual basis, even if the CD has a maturity date under a year. money market rates of return for different currencies are used to compute forex swap points. also called return.
- (written as Rate of Return)The rate of discount (see Discounting) that makes the present value of a stream of money costs and benefits over time equal to zero.