Yield ratio

Yield ratio

The quotient of two bond yields.

Yield Ratio

A comparison of the expected yield of one bond to the expected yield of another. A yield ratio is important when deciding whether to invest in one bond or another; generally, the one with the higher yield wins out. However, it is important to take into account the after tax basis when taking the yield ratio of a corporate bond and a tax-exempt municipal bond. 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.
References in periodicals archive ?
Experts pointed out that from the perspective of dividend yield ratio, the Bank's dividend yield ratio was 5.
They began operating in 1989, with a total capacity of 150MW and a 31% yield ratio.
7) Finally, the earnings yield/bond yield ratio is currently close to an allatime high, and hence Russian equities now look very attractive relative to bonds (see Chart of the Month).
For each of 293 comparisons of organic or semi-organic production to locally prevalent methods under field conditions, the yield ratio is the ratio of organic: non-organic production.
The municipal bond yield ratio for short-term bonds is normally smaller than for long-term bonds; the yield on municipal bonds with a one-year maturity averages only about 70% of the yield on comparable taxable bonds.
The data, when plugged into a formula, give a yield ratio of 13.
Because the yield ratio is determined by the tax rate faced by the marginal investor, a number of authors have argued that the long-term yield ratio is directly related to the level of individual purchases.
Oswalt, Northrop, covered Phase 11 of "A Study of the Relationship of Notch Yield Ratio and Fracture Toughness of Structural Aircraft Quality D357 Aluminum Casting Alloy" (90-171).
If valid, the levels would yield ratio probabilities, i.
It had two 200MW units, with a yield ratio of 34-37%.
Testing is underway at the DOE's Albany Research Center (ARC) in Oregon and includes a series of trial runs to determine if fiberization can be achieved and what significant modifications are necessary to the extraction, melting and spinning processes and equipment to maximize the desired spun/shot yield ratio.