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Glossary Mutual Fund / Term

Yield

Interest or market earnings on a bond or other investment.


Yield refers to the return or earnings earned from investing in an asset, security or bonds, over a certain period of time. Examples of yield include interest on debt investments and dividends paid for equity holdings. It is generally expressed as an annual percentage and can be calculated in relation to the amount invested.

For example, Ms. X invests Rs. 1 lakh in stocks of Company A, while Ms. Y invests Rs. 2 Lakhs in the stocks of Company B. If both of them receive Rs. 10,000 as return, then the yield of Ms. X (10%) is higher than that of Ms. Y (5%).

Permanent link Yield - Modification date 2020-09-15 - Creation date 2020-03-10


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