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 ...

Bonds can provide passive income, some of which may be tax-free if you’re investing in municipal bonds. The tax-equivalent yield formula can be a useful tool for comparing taxable and tax-free bond ...

A yield is a percentage measure of income you can earn from your investments in a given time. If you're a passive-income investor, you may live entirely or partially on your investment's proceeds or ...

Editorial Note: Forbes Advisor may earn a commission on sales made from partner links on this page, but that doesn't affect our editors' opinions or evaluations. Dividend yield shows how much a ...

Whether you're looking for dividend-paying stocks for the long term, or you're an investor needing current income, dividend yield can be a helpful tool for analyzing a stock, mutual fund, or ETF. It ...

Perpetual bonds have no maturity date, allowing them to pay interest indefinitely, making them appealing for long-term income. They come in different types, such as government and corporate bonds, ...

One of the most popular measures of bond yield is yield to maturity (YTM). Also called book yield or redemption yield, it’s the estimated rate of return an investor can expect from a bond when held ...

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 ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Rising interest rates have increased the long-term expected dividends and returns of most bonds and bond funds. There is a simple way to estimate the long-term expected returns of these securities, ...

Investors demand higher returns from illiquid assets due to greater selling difficulty. Liquidity premium can be calculated by comparing yields of similar liquid and illiquid bonds. Real risk-free ...