Bond Current Yield Calculator

Current Yield Explained

Current yield shows the annual return from coupon payments relative to the price you pay. It's simple but incomplete — it ignores the capital gain or loss at maturity (which YTM captures).

Current Yield vs Coupon Rate

• Bond at par ($1,000): Current yield = Coupon rate
• Bond at discount ($980): Current yield > Coupon rate (you get same coupon for less money)
• Bond at premium ($1,020): Current yield < Coupon rate (you pay more for same coupon)