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 ...

Rising interest rates have increased the long-term expected dividends and returns of most bonds and bond funds. There is a simple way to estimate the long-term expected returns of these securities, ...

While the current yield and yield-to-maturity (YTM) formulas may be used to calculate the yield of a bond, each method has a different application—depending on an investor’s specific goals. When a ...

Dive into yield equivalence – its definition, types, calculation, and influence on various investments. Learn how to optimize ...

A bond yield is the current coumpounded interest rate that an investor can earn by purchasing a certain bond at its current market price. When an investor buys a bond, they are essentially lending ...

Perpetual bonds have no maturity date, allowing them to pay interest indefinitely, making them appealing for long-term income. They come in different types, such as government and corporate bonds, ...

Elizabeth Blessing is a financial writer and editor specializing in growth investing, high-yield stocks, small caps, and gold investing. Andy Smith is a Certified Financial Planner (CFP®), licensed ...