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Inflation risk premium - Financial definition

Tags: 
Translations:      FR  prime d'inflation (n.f.) , prime de risque d'inflation (n.f.)     ES  prima de inflación (n.f.) , prima de riesgo de inflación (n.f.)     DE  Inflationsprämie (n.f.) , Inflationsrisikoprämie (n.f.) 
Synonym:  inflation premium

Concise definition of the term inflation risk premium

The inflation risk premium is a component of the nominal interest which compensates an investor for the loss of value of his investment due to inflation during the duration of the investment.

Comprehensive definition of the term inflation risk premium

The level of the premium depends on the inflation rate expected for the investment period.

Additional information related to this definition

Definitions of related terms

Inflation  •  Inflation-linked bond

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