Explain the term Realized Yield
Explain the term Realized Yield? Also write some points on it.
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Realized Yield:• The realized yield is the return earned on a bond provided the cash flows really obtained by the investor.
• The interest rate at which the current value of the actual cash flows produced by the investment equals the bond’s price is the realized yield on the investment.
• The realized yield is significant bond computation since it permits investors to view the return they really earned on their investment.
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