While the current yield and yield-to-maturity (YTM) formulas may be used to calculate the yield of a bond, each method has a different application—depending on an investor’s specific goals. When a ...
A bond yield is the current coumpounded interest rate that an investor can earn by purchasing a certain bond at its current market price. When an investor buys a bond, they are essentially lending ...
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, ...
James Chen, CMT is an expert trader, investment adviser, and global market strategist. Andy Smith is a Certified Financial Planner (CFP®), licensed realtor and educator with over 35 years of diverse ...
A version of this article was published in the November 2015 issue of Morningstar ETFInvestor. Download a complimentary copy of ETFInvestor here. Flaw of Averages Duration, by itself, is a crude ...
With this bond yield calculator you can find both the current yield and yield to maturity (YTM). This tool can help you with setting up a better income portfolio. Enter bond numbers below and you’ll ...
A bond yield refers to the returns earned by investors on a bond and can be calculated using a variety of methods. Common variations of a bond yield include coupon rate, current yield and yield to ...