Home » Investment Terms Dictionary » Reward

Definition Of Reward:

1. Financing: Concept that return or yield from an investment is proportional to risk.
Thus, investors will demand a greater reward where the risk of loss is greater. 2. Incentive plans: Scheme to support and reinforce desirable behavior, such as wage rate that increases with the productivity of the worker.

Other Definition Of Investment Terms:

Reward-risk Ratio
Rights Issue
Rights Letter
Risk Adjusted Discount Rate
Risk Free
Risk Free Investment

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