What is the difference between nominal and real returns?
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Nominal returns are the returns on an investment stated in current dollars, while real returns are the returns adjusted for inflation. Real returns are considered a more accurate measure of an investment's performance, as they take into account the impact of inflation on purchasing power.
Nominal returns are the returns on an investment stated in current dollars, while real returns are the returns adjusted for inflation. Real returns are considered a more accurate measure of an investment’s performance, as they take into account the impact of inflation on purchasing power.
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