What is the difference between risk and return?

Return and risk move together. Risk is greater where the expectation for returns is high. Return ∝ Risk Returns can be positive (gain) or negative (loss) and are expressed as either price increases or percentage increases over time for projects, investments, or items.

What is the difference between yield and return?

Yield and return are both measurements of an investment’s performance. Here's a look at how they’re different and how you can use them to track the performance of your investments. What is yield? Yield refers to how much income an investment generates, separate from the principal.

What is return & why is it important?

Return is a measure of an investment’s total interest, dividends and capital gains, expressed as a financial gain or loss over a specific timeframe. Return provides a glimpse of the investment’s prior performance and helps determine if a particular investment has been profitable over time.