Taxable equivalent yield

Also found in: Acronyms.

Taxable equivalent yield

The return from a higher-paying but taxable investment that would equal the return from a tax-free investment. This depends on the investor's tax bracket.

Taxable 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 paying 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 taxable equivalent yield is the extra yield required on a corporate bond to equal the yield of a municipal bond. See also: Municipals-over-bonds spread, After-tax basis.

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08%, directly related to the effectiveness of the Company's strategy of focusing on a total taxable equivalent yield, seeking to invest in certain U.

M&F Bancorp, Inc. Announces Second Quarter Results

Assuming the Company's income during the year is approximately 85% to 90% exempt from Federal income tax, and assuming a shareholder is in the 35% tax bracket, the taxable equivalent yield would be approximately 11.

CharterMac Declares Common and Preferred Dividends Per Share for the Fourth Quarter of 2005; Announces 2.4% Increase in Common Dividend Distribution

Assuming the Company's income during the year is approximately 85% to 90% exempt from federal income tax and a shareholder is in a 35% tax bracket, the taxable equivalent yield would be approximately 11.

CharterMac Announces Third Quarter Dividend Per Share for 2005

18 Securities - nontaxable - adjusted to a taxable equivalent yield 19,870 320 6.

Willow Grove Bancorp, Inc. Announces Third Quarter Results and Declaration of Cash Dividend

For the year ended December 31, 2004, CharterMac estimates that approximately 90% of its distributions to common shareholders will be federally tax-exempt, resulting in a taxable equivalent yield of approximately 10.

CharterMac Completes Over $2.7 Billion in Multifamily Financing During 2004

Assuming the Company's income during the year is approximately 90% exempt from Federal income tax, and assuming a shareholder is in the 35% tax bracket, the taxable equivalent yield would be approximately 9.

CharterMac Announces Fourth Quarter Dividend Per Share for 2004

Assuming the Company's income during the year is approximately 92% exempt from Federal income tax, and assuming a shareholder is in the 35% tax bracket, the taxable equivalent yield would be approximately 11.

CharterMac Announces 7.9% Increase in Dividend Per Share

For the year ended December 31, 2003, CharterMac estimates that approximately 92% of its distributions to common shareholders will be federally tax-exempt, resulting in a taxable equivalent yield of approximately 10.

CharterMac and Subsidiaries Complete Over $2 Billion in Multifamily Financing in 2003