# Yield

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Related to yielding: unsystematic, flatterable

## Yield

Current return from an investment or expenditure as a percentage of the price of investment or expenditure.

The term yield is the proportionate rate that income from an investment bears to the total cost of the investment. For example, a ten dollar profit on a one hundred dollar investment represents a 10 percent yield. Thus, a yield for stock dividends or bond interest paid will be expressed as a percentage of the current price. A yield can also refer to the bond coupon or stock dividend rate divided by the purchase price.

There are several specific types of yields. On bonds, a current yield is the annual interest paid divided by the current market price of the bond. As interest rates fall, the market price of the bond rises; as they rise, bond prices fall. The current yield reflects the actual rate of return on a bond. For example, a 9.5 percent bond with a face value of \$1,000 yields \$95 per year. If this bond is purchased in the secondary bond market for \$1,100, the interest will still be \$95 a year, but the current yield will be reduced to 8.6 percent because the new owner paid more for the bond.

A nominal yield is the annual income received from a fixed-income security divided by the face value of the security. It is stated as a percentage figure. For example, if a security with a face value of \$5,000 generated \$500 in income, the nominal yield would be 10 percent.

On bonds, a yield to maturity is a complex calculation that reflects the overall rate of return an investor would receive from a bond if the bond is held to maturity and the interest payments are reinvested at the same rate. It takes into account the purchase price, the coupon yield, the time to maturity, and the time between interest payments.

A net yield is the rate of return on an investment after deducting all costs, losses, and charges for investment. A dividend yield is the current annual dividend divided by the market price per share of stock. A yield spread refers to differences in yields between various issues of Securities.

References in periodicals archive ?
Performance of "Thal 2006" a high yielding and disease resistant variety of chickpea.
In July, a successful appeal reduced Yielding's jail time by two years, but he still owes restitution and attorney fees.
Regression of %TM against year indicated that between 1979 and 1998 the mean advantage of the five highest yielding lines over the TM in the ESWYT increased at a rate of 0.34% [yr.sup.-1] for environments yielding less than 4 Mg [ha.sup.-1] (Fig.
Here's another grim tale: A guy in my car pool owned some municipal bonds yielding 14.75 percent.
A variation of high yielding REITS is National Health Investors, Inc.
The term "higher yielding investments" means any investment that produces a materially higher yield than the issue yield.
This has resulted in the three-part tree: a high yielding trunk is grafted onto a vigorous root stock, and a disease resistant crown onto the trunk.
Indeed, to simultaneously breed of high yielding linseed varieties, biological yield per plant should firstly be considered followed by straw yield per plant, fibre yield and 1000 seed weight.
The global supply of long- and short-term sovereign securities yielding less than zero now nears \$10 trillion, constraining the ability of banks, insurers and other sovereign investors to generate fixed-income returns.
Sharma [16] stated that the production of high yielding varieties of wheat is only achieved through increasing biological yield together with stability of harvest index or through its increasing, simultaneously.
27% High-Yield California Baptist Foundation church bonds One maturing in 2007 yielding 6.3% and another maturing in 2011 yielding 7.8%

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