Yield gap: related pages

Equity risk premium

The difference between the expected rate of return of the stock market and the risk free rate of return; the amount of extra return investors demand for taking the extra risk of equity investment.

Yield

Yield most commonly means either dividend yield or yield to maturity.

YTM (Yield to maturity)/Redemption yield

The IRR a buyer would receive by purchasing a bond at the current market price.

Term structure

The pattern of variation of interest rates with time.

Dividend policy

A company's usual practice when deciding how big a dividend payment to make.