The formula for calculating a dividend’s yield can be broken down into two key steps. A dividend is a payment from a company or other entity to shareholders tied to ownership of a stock or another ...

Bonds are investment vehicles that make regular coupon payments until maturity, at which time the bond's face value is paid. If a bond is callable, the issuer of the bond may terminate the bond's ...

What Is a Distribution Yield? A distribution yield measures the cash flow from exchange-traded funds (ETFs), real estate investment trusts (REITs), or other income-paying vehicles. Rather than ...

There is a lot more to investing in bonds than simply looking at the stated, or coupon, interest rate. Many bonds are callable, which means that the issuing company has a right to buy the bonds back ...

Dividends are distributions from companies to shareholders. Although some companies pay dividends in shares of their stock, traditional dividends are distributed in cash, often quarterly. For some ...

When investors purchase bonds, they do so primarily to generate income. The expected annual rate of return is called the current yield, and it is a function of the current price and the amount of ...

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Andy Smith is a Certified Financial Planner (CFP®), licensed realtor and educator with over 35 years of diverse ...

If a bond is "callable," it means that the issuer has the right to buy the bond back at a predetermined date before its full maturity date. The call could happen at the bond's face value, or the ...

Yield equivalence is a concept in financial analysis that facilitates the comparison of yields between different types of debt securities, even if they have varying payment frequencies or structures.