Yield
Yield is the income an investment pays you each year, expressed as a percentage of its price. It's how you compare income across investments: a 5% yield pays $50 a year per $1,000 invested, whether it comes from dividends or bond interest. Just remember — unusually high yields usually mean unusually high risk.
Example: A stock priced at $100 paying $3 in annual dividends has a 3% yield.
Related
Educational content only — not financial advice.