Interest-Rate Risk

Business / Taxes / Interest-Rate Risk: Interest-rate risk describes the impact that a change in current interest rates is likely to have on the value of your investment portfolio. You face interest-rate risk when you own long-term bonds or bond mutual funds because their market value will drop if interest rates increase. That loss of value occurs because investors will be able to buy bonds with a new, higher interest rate, so they won't pay full price for an older bond paying a lower interest rate.

Other Words for Risk

Risk Noun Synonyms: danger, peril, jeopardy, hazard, chance, gamble
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Risk Management Agency

Business / Agriculture / Risk Management Agency: An independent office within USDA that is responsible for the supervision of the Federal Crop Insurance Corporation: the administration and oversight of the federal crop insurance program and any pilo MORE

Risk Premium

Business / Finance / Risk Premium: The reward for holding the risky equity market portfolio rather than the risk-free asset. The spread between Treasury and non-Treasury bonds of comparable maturity. MORE

Risk Management

Business / Accounting / Risk Management: Procedures to minimize the adverse effect of a possible financial loss by: 1) identifying potential sources of loss: 2) measuring the financial consequences of a loss occurring: and 3) using controls MORE

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