GLOSSARY

Dividend yield

Dividend Analysis

IN PLAIN ENGLISH

A year of dividends divided by today's share price, shown as a percentage.

WHERE YOU MEET IT

Per holding, and as a portfolio total on the dashboard.

WATCH OUT FOR

A yield can spike simply because the price fell. That's a warning, not a bargain.

FULL DEFINITION

A financial ratio (dividend/price) that shows how much a company pays out in dividends each year relative to its stock price.

EXAMPLE

Share price is £100. Dividend is £5. Yield = 5%. If the price drops to £50, the yield goes up to 10%!

EXPLAINED IN

What that yield percentage really means

Educational content only. It is not personal financial advice.