Yield

Yield usually refers to the interest or dividend earned on a particular investment.

For example, if an investor buys a bond with a face value of $1,000 and a yield of 5%, they will earn $50 in interest per year.

Yield can be an important factor in making investment decisions, as it can provide an indication of the potential return on investment. However, it is important to carefully consider the risks associated with any investment, as higher yields often come with higher levels of risk.