real return
Purchasing-power-adjusted yield
Real return is an investment's gain after adjusting for inflation.
If an investment earns 7% but inflation runs 3%, the real return is roughly 4%—the actual increase in purchasing power.
Nominal return is the raw percentage; real return reflects what you can actually buy with your gains.
After inflation, my real return was barely positive.
- inflationSustained price level increase
- yieldProduce or relinquish
- purchasing powerEconomic spending ability
- buying powerCurrency's actual worth
- adjustedChanged to improve fit
inflation adjusted · nominal · investment · interest · risk free · bonds · appreciation · net · profit · after-tax · dividend · growth · principal · compound · portfolio · nest egg · capital gains · CPI