Yield

Yield represents the earnings generated by an investment over a period, usually expressed as an annual percentage of the investment's cost or current market value. For stocks, dividend yield is calculated by dividing annual dividends by share price. For bonds, yield includes interest payments. Current yield uses current price, while yield to maturity considers all future payments. High yields may indicate higher risk or undervalued assets. Yield-seeking investors focus on income over capital appreciation. In trading, understanding yield helps evaluate dividend capture strategies and relative value between assets.