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 ...

Bonds can provide passive income, some of which may be tax-free if you’re investing in municipal bonds. The tax-equivalent yield formula can be a useful tool for comparing taxable and tax-free bond ...

A bond yield refers to the returns earned by investors on a bond and can be calculated using a variety of methods. Common variations of a bond yield include coupon rate, current yield and yield to ...

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 ...

Jason Fernando is a professional investor and writer who enjoys tackling and communicating complex business and financial problems. Chip Stapleton is a Series 7 and Series 66 license holder, CFA Level ...

The most awaited change in the bond market’s favorite indicator is finally here: the Treasury yield curve has steepened owing to a drop in short-term yields and an increase in intermediate- and ...

High yield bonds offer superior returns with manageable risk when selected using strict criteria on credit rating, maturity, and leverage metrics. My portfolio favors bonds with maturities under 5 ...

Learn how effective duration calculates interest rate sensitivity in bonds with embedded options, understand its formula, and ...