The
Definition Of

Inflation Premium

Inflation Premium is a premium for anticipated inflation that investors require in addition to the pure rate of interest.

Share it:

More from this Section

  • SWIFT
    SWIFT is and acronym for Society for World wide Interbank Financial Telecommunication.
  • Foreign Exchange Risk
    In today’s dollarized world with huge international trade exchange of currency has become inevitable. In fact the international trade volume has increased...
  • Structure of funds method
    Structure of funds method is the method of estimating a bank’s liquidity requirements that depends on a detailed analysis of a bank’s
  • Forward Cover
    Forward Cover is forward purchase or sale of foreign currency to offset an anticipated future cash flow.
  • Equation of exchange
    Equation of exchange is the equation MV=PY, which relates nominal income to the quantity of money.
  • Planned investment spending
    Planned investment spending is the total planned spending by businesses on new physical capital (e.g., machines, computers, apartment buildings) plus planned spending on new homes.
  • International banking facilities (IBFs)
    International banking facilities (IBFs) is the banking establishments in the United States that can accept time deposits from foreigners but