TRADING GLOSSARY
Dividend yield
Dividend yield expresses annual dividends per share as a percentage of the current share price. It may use past payments or forecast dividends, so the basis matters; it does not measure total return or guarantee future income.
EXAMPLE
In a hypothetical example, annual dividends of £0.60 per share and a share price of £12 produce a dividend yield of 5%.
Try it yourself:Live markets →
RELATED TERMS
Full glossary A–Z →Put the theory into practice.
Open an account in minutes, or practise on a free demo first.
Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure