Yields Flashcards
1
Q
Interest Yield
(aka running yield, flat yield, income yield, current yield) is calculated as:
A
(Coupon/clean price) x 100
2
Q
Redemption Yield
A
Interest yield + or -
(((gain or loss to maturity / number of years to maturity) / clean price) x 100)
Tip: resolve brackets first
3
Q
Rental yield (net) is calculated as…
A
(Gross Rent - expenses) / (Market Price + cost of buying) x 100
4
Q
Rental yield (net) is calculated as…
A
(Gross Rent - expenses) / (Market Price + cost of buying) x 100