HomeDefinitionsCompareDebt Risk adjusted returnThe financial definition for Risk adjusted return:Often we subtract from the rate of return on an asset a rate of return from another asset that has similar risk. This gives an abnormal rate of return that shows how the asset performed over and above a benchmark asset with the same risk. We can also use the beta against the benchmark to calculate an alpha, which is also risk-adjusted performance. Similar MatchesAdjusted balance methodAdjusted balance methodMethod of calculating finance charges that uses the account balance remaining after adjusting for all transactions posted during the given billing period as its basis. Related: Average daily balance method, previous balance method, past due balance method. Adjusted basisAdjusted basisPrice from which to calculate and derive capital gains or losses upon sale of an asset. Account actions such as any stock splits that have occurred since the initial purchase must be accounted for. Adjusted debit balance (ADB)Adjusted debit balance (ADB)The account balance for a margin account that is calculated by combining the balance owed to a broker with any outstanding balance in the special miscellaneous account, and any paper profits on short accounts. Further SuggestionsAdjusted exercise priceAdjusted gross income (AGI) Adjusted present value (APV) Net adjusted present value Risk adjusted discount rate Risk adjusted profitability Seasonally adjusted Click to compare definitions of Risk adjusted return Click to view definitions beginning ri |