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rate of return

rate of return

14 4.8
Profit or loss on an investment shown as a percent of its cost
  • noun
  • /reɪt əv rɪˈtɜrn/
  • Specialized
translation icon : tasa de rendimiento
  • I believe in a reasonable rate of return.
  • rate of return on investments
  • high rate of return
  • internal rate of return

Like it's very, very low rate of return.

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Examples

  • According to regulations set by the government in 1969, the allowed rate of return for Taipower ranges from 9.5% to 12%.

    Academic text (1990)
  • The required rate of return on energy-efficiency investments should be comparable to that of investments in general.

    Academic text (1991)
  • And he did that to create cash flow and increase rates of return for years and years and years.

  • Your rates of return are really exciting.

  • And how many years would it take reasonable rates of return to get there?

  • There was a difference in the rate of return based on the type of governance.

    Academic text (1991)
  • Private capital requires more lending freedom and a higher rate of return on investment than public capital.

    Blog text (23)
  • An investment is selected as long as the internal rate of return exceeds the cost of capital.

    Academic text (1991)
  • Many vessel operators, however, are very efficient and generate much higher rates of return.

    Academic text (1991)
  • You can expect an annual rate of return of 6% on your retirement savings.

Synonyms

return
vsrate of return
  • Specialized
266 3.7

Money earned from an investment or business

expresses profit or loss as a percentage of the original cost
ROI
vsrate of return
  • Specialized
20 5.5

A number that shows how much profit you get from money you invest

expresses profit or loss as a percentage of the original cost
return on investment
vsrate of return
  • Specialized
15 3.5

How much money you gain from putting money into something, shown as a percent

expresses profit or loss as a percentage of the original cost

How High

return on invested capital
  • Specialized
5.3
rate of return
  • Specialized
14 4.8

Surface Forms

Morphology

rate + of + return

The meaning is transparently built from 'rate' (a measure) + 'of' (linking) + 'return' (the yield from an investment), so a learner who knows the constituents can infer it denotes the measured/percentage amount of return. This noun-of-noun composition is common cross-linguistically and follows standard English patterns, making it immediately comprehensible to a B1 learner.

Etymology

The noun rate of return links the word rate, meaning how fast, and return, meaning what comes back. Think of money you invest and later get back; the amount and speed of that money is the 'rate of return', so the phrase means 'how much you earn from an investment'.