Net Yield Law and Legal Definition
Net yield means the rate of return of profit or loss on an investment or security after deducting all appropriate loss reserves and expenses such as commissions, costs of purchase, and taxes. Municipal bonds are quoted on a net yield basis. With respect to bonds, it means the rate of return after taking into account the purchase price, the coupon rate, and number of years to maturity. It is also termed as yield to maturity.
