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 ...
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, ...
When buying a bond, yield is one of the most important factors to consider. But calculating yield can vary depending on what the investor does with their coupon payments. Will you pocket them as a ...
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 ...
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, ...
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 ...
Learn how understanding the bond yield curve's signals can inform economic forecasts and enhance your investment decisions ...