Taxable-Equivalent Yields financial definition of Taxable-Equivalent Yields. Taxable-Equivalent Yields finance term by the Free Online Dictionary.

Tax-equivalent yield

The pre-tax yield required from a taxable bond in order to equal the tax-free yield of a municipal bond.

Tax-Equivalent Yield

The yield of a taxable investment that equals the yield of a tax-free investment with a lower stated yield. A corporate bond yields less than its stated interest rate because of taxation whereas a tax-exempt municipal bond does not. Thus, a municipal bond that pays a lower interest rate will often net the bondholder more than a corporate bond with a slightly higher interest rate, depending upon one's tax bracket. The tax equivalent yield is the extra yield required on a corporate bond to equal the post-tax yield of a municipal bond. See also: Municipals-over-bonds spread, After-tax basis.

tax-equivalent yield

The pretax yield that provides the same return as a specified aftertax yield. Tax-equivalent yield is calculated by dividing tax-free yield by the difference obtained from subtracting the applicable tax rate from 1. For example, for an investor who pays taxes at a rate of 40%, an aftertax yield of 6% has a tax-equivalent yield of 0.06/(1 - 0.4), or 10%.

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Corporate Equivalent Yield Equivalent Taxable Yield			Tax-Sheltered Income Tax-Timing Option Taxa de cambio Taxa de cambio de equilibrio Taxa de cambio efetiva Taxa de inflacao Taxa de juro do cupom Taxa de juros Taxa de redesconto Taxa dos fundos federais Taxa interbancaria Taxa interna de retorno Taxable Acquisition Taxable Bond Taxable Equivalent Yield Taxable Estate Taxable Event Taxable Gain taxable income Taxable Municipal Bond Taxable Person Taxable Security Taxable Transaction Taxable U.S. Domestic Corporation Taxable Year Taxable-Equivalent Yields Taxas alfandegarias Taxe sur la valeur ajoutee Taxe sur le chiffre d'affaires Taxpayer Taxpayer Advocate Service Taxpayer Identification Number Taxpayer Relief Act of 1997 Taylor Rule Taylors Rule TBA TC TD TD Ameritrade TDR Te goeder trouw Tea Money Tear Sheet teaser rate Tech Street technical advice memorandum Technical Analysis Technical Analyst Technical Analysts Technical Bankruptcy Technical Condition of a Market			Taxable income elasticity Taxable Incomes Taxable Incomes Taxable Item Taxable municipal bond Taxable Municipal Bonds Taxable Paid-Up Capital Taxable Person Taxable Persons Taxable REIT Subsidiary Taxable Sales Deflator Index Taxable Securities Taxable Security Taxable Situs Taxable transaction Taxable transaction Taxable Transactions Taxable U.S. Domestic Corporation Taxable Value Taxable Value Taxable Value Taxable Values Taxable Values Taxable Values Taxable Wage Base Taxable year Taxable year Taxable Years Taxable Years Taxable-Equivalent Yield Taxable-Equivalent Yields taxableness taxably Taxaceae Taxaceae taxaceous Taxadermy Taxadermy Taxagon Taxales Taxales taxamanil Taxane Taxanes Taxas alfandegarias Taxaspidean taxation taxation taxation taxation Taxation and Budget Reform Commission Taxation and Customs Union Directorate-General Taxation Determination taxation fatigue Taxation in the European Union Taxation in the European Union Taxation Institute of Hong Kong Taxation Investment Accounting Management Taxation law Taxation Laws Amendment Bill Taxation Laws Improvement Project

Tax-Equivalent Yield (redirected from Taxable-Equivalent Yields)

Tax-Equivalent Yield
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