CFA® glossary: Y
2 terms beginning with Y.
- Yield to maturity
- The single rate equating a bond's price with its cash flows. A promised return, realised only if it is held, paid, and every coupon reinvested at that same rate. Where it appears →
- Yield to worst
- The lowest of the yields to maturity and to each call date. The issuer picks, so it is the outcome to plan on.
Learn these terms in context, with worked examples and questions.
Take the free diagnostic →