An annual percentage yield, or APY, is the rate of return on money in a bank account. Many, or all, of the products featured on this page are from our advertising partners who compensate us when you ...

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 ...

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 ...

Companies pay dividends when they distribute a portion of their earnings to shareholders. Dividends can be paid in cash or additional shares of the company's stock, usually on a quarterly basis. Not ...

An annual percentage rate (APR) is the interest rate charged on loans. An annual percentage yield (APY) is the rate of interest earned on investments. Many or all of the products on this page are from ...

One key aspect of any bond investment is its current yield. When a bond is brand-new, figuring out the bond yield is relatively simple, because in most cases, bonds are issued at prices that are close ...

Money market yield measures the annualized return on short-term, low-risk investments like Treasury bills and commercial paper. It helps investors compare the earnings potential of different money ...

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 ...

Preferred stock is a type of equity or ownership security. Unlike common stock, preferred shares do not have voting rights at stockholders' meetings. However, preferred stock pays a fixed dividend ...

When you're shopping for a financial product like a savings account or CD, it can feel like you have to learn a new language to make sense of your options. Banks love to toss around terms like "APY" ...

Yield calculation starts by dividing the coupon rate by two and the result by current bond price. Using a simple yield method can overlook gains or losses due upon bond maturity. Including potential ...