Real rate of return adjusts for inflation, providing a true growth measure. S&P 500's real rate is 7.9%, versus a nominal 11.8%, due to inflation. Using real rates in retirement planning ensures ...
We have argued that nominal rates and differentials are the key driver of the dollar. Some have suggested real rates are the real driver. We test the hypothesis and offer some initial results. Real ...
Focusing on the nominal rate of return can give you a false idea of how much income you’ll receive from your investments.
Discover how index-linked bonds protect against inflation by paying interest linked to indices like the CPI, ensuring a real rate of return. Explore their benefits and examples.