Yield: Difference between revisions
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The rate of return (or cost) <i>on the current market value</i> of an asset (or liability), usually expressed as a percentage per annum. | |||
For example, today’s yield to maturity of a bond measures the total return to an investor in the bond, reflecting both | |||
The | *The interest income over the remaining life of the bond and | ||
*Any capital gain (or loss) from today’s market value to the redemption amount payable at maturity. | |||
When the market yield to maturity is applied to discount the future cashflows of the asset or liability, the net present value of all of the cashflows - including the current market purchase price - is Nil. | When the market yield to maturity is applied to discount the future cashflows of the asset or liability, the net present value of all of the cashflows - including the current market purchase price - is Nil. | ||
2. ''Equity investment.'' | |||
Abbreviation for dividend yield. | |||
3. | |||
More broadly, any measure of a rate of return or borrowing cost. | |||
In this broader sense, yield may be calculated and expressed on a number of different bases. | |||
For this reason, it is essential to identify clearly the basis on which a given yield is expressed, before using it for calculation or comparison. | |||
4. ''Taxation.'' | |||
Abbreviation for tax yield. | |||
5. ''Property investment.'' | |||
Abbreviation for rental yield. | |||
== See also == | == See also == | ||
* [[Annual effective yield]] | |||
* [[Bond]] | |||
* [[Bond equivalent yield]] | |||
* [[Credit spread ]] | * [[Credit spread ]] | ||
* [[Current yield]] | |||
* [[Discount instruments]] | * [[Discount instruments]] | ||
* [[Discount rate]] | * [[Discount rate]] | ||
* [[Discount yield]] | * [[Discount yield]] | ||
* [[Dividend yield]] | |||
* [[Earnings yield]] | |||
* [[Equity]] | |||
* [[Exit yield]] | |||
* [[Forward yield]] | |||
* [[Gross redemption yield]] | |||
* [[Gross yield]] | |||
* [[High-yield]] | |||
* [[Holding period yield]] | |||
* [[Interest]] | * [[Interest]] | ||
* [[Interest rate]] | * [[Interest rate]] | ||
* [[Interest yield]] | |||
* [[Internal rate of return]] (IRR) | |||
* [[Inverse relationship]] | |||
* [[Investment]] | |||
* [[Liquidity]] | |||
* [[Market value]] | |||
* [[Market yield]] | |||
* [[Money market yield]] | |||
* [[Nominal annual rate]] | |||
* [[Nominal annual yield]] | |||
* [[Nominal yield]] | |||
* [[Par yield]] | |||
* [[Periodic rate of interest]] | |||
* [[Periodic yield]] | |||
* [[Property]] | |||
* [[Rate of return]] | |||
* [[Redemption yield]] | |||
* [[Rental yield]] | |||
* [[Running yield]] | |||
* [[Security]] | |||
* [[SLY]] | |||
* [[Sterling commercial paper]] | * [[Sterling commercial paper]] | ||
* [[Tax yield]] | |||
* [[Time value of money]] (TVM) | |||
* [[Treasury yield]] | |||
* [[Yield basis]] | |||
* [[Yield curve]] | |||
* [[Yield spread]] | * [[Yield spread]] | ||
* [[Yield to maturity]] | * [[Yield to maturity]] | ||
* [[Yield to redemption]] | |||
* [[Yield to worst]] | |||
* [[Zero coupon yield]] | |||
==Other resources== | |||
*[[Media:2015_06_June_-_Safety_first.pdf| Safety first, The Treasurer]] | |||
*[http://www.treasurers.org/node/8837 Triumph with timelines, The Treasurer] | |||
[[Category:Accounting,_tax_and_regulation]] | |||
[ | [[Category:The_business_context]] | ||
[[Category:Corporate_finance]] | |||
[[Category:Intercompany_funding]] | |||
[[Category:Investment]] | |||
[[Category:Long_term_funding]] | |||
[[Category:Cash_management]] | |||
[[Category:Financial_products_and_markets]] | |||
[[Category:Liquidity_management]] | |||
Latest revision as of 17:34, 6 June 2023
1.
The rate of return (or cost) on the current market value of an asset (or liability), usually expressed as a percentage per annum.
For example, today’s yield to maturity of a bond measures the total return to an investor in the bond, reflecting both
- The interest income over the remaining life of the bond and
- Any capital gain (or loss) from today’s market value to the redemption amount payable at maturity.
When the market yield to maturity is applied to discount the future cashflows of the asset or liability, the net present value of all of the cashflows - including the current market purchase price - is Nil.
2. Equity investment.
Abbreviation for dividend yield.
3.
More broadly, any measure of a rate of return or borrowing cost.
In this broader sense, yield may be calculated and expressed on a number of different bases.
For this reason, it is essential to identify clearly the basis on which a given yield is expressed, before using it for calculation or comparison.
4. Taxation.
Abbreviation for tax yield.
5. Property investment.
Abbreviation for rental yield.
See also
- Annual effective yield
- Bond
- Bond equivalent yield
- Credit spread
- Current yield
- Discount instruments
- Discount rate
- Discount yield
- Dividend yield
- Earnings yield
- Equity
- Exit yield
- Forward yield
- Gross redemption yield
- Gross yield
- High-yield
- Holding period yield
- Interest
- Interest rate
- Interest yield
- Internal rate of return (IRR)
- Inverse relationship
- Investment
- Liquidity
- Market value
- Market yield
- Money market yield
- Nominal annual rate
- Nominal annual yield
- Nominal yield
- Par yield
- Periodic rate of interest
- Periodic yield
- Property
- Rate of return
- Redemption yield
- Rental yield
- Running yield
- Security
- SLY
- Sterling commercial paper
- Tax yield
- Time value of money (TVM)
- Treasury yield
- Yield basis
- Yield curve
- Yield spread
- Yield to maturity
- Yield to redemption
- Yield to worst
- Zero coupon yield
