Definitions for "Risk premium"
Reward the investors ask for taking a larger investment risk.
The excess return on the risky asset that is the difference between expected return on risky assets and the return of risk-free assets.
The additional compensation demanded by investors, above the risk-free rate of return, for assuming risk -- the larger the risk, the larger the risk premium.
Keywords:  inherent, factors, trade, payment
a payment that factors-in the inherent risk of a trade.
An amount which a person requires before exposing himself to a variable income.