Required Rate Of Return (RRR)

What Does Required Rate Of Return (RRR) Mean?
The rate of return needed to induce investors or companies to invest in something.

Investopedia explains Required Rate Of Return (RRR)
For example, if you invest in a stock, your required return might be 10% per year. Your reasoning is that if you don't receive 10% return, then you'd be better off paying down your outstanding mortgage, on which you are paying 10% interest.

Related Terms

Expected Return
Hurdle Rate
Inflation-Adjusted Return
Return
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