Distribution Yield

Distribution yield is a financial metric that measures the income from distributions relative to the value of an investment. It shows how much a fund or portfolio has paid out in distributions each year relative to its price, NAV (Net Asset Value) or level (for portfolios). Expressed as a percentage, it helps investors understand the return they can expect from all types of distributions, without considering any changes in the price, NAV or level.

Distribution yield is similar to dividend yield in that it is a measure of an investment’s distributions relative to its value, but there is a key difference. Dividend yield measures the income generated solely from dividends, whereas distribution yield measures the income generated from both dividends and capital gains. Distribution types included in the calculation are non-qualified dividends, qualified dividends, tax-free income dividends, interest income dividends, foreign dividends, domestic dividends, capital gains dividends, long-term capital gains dividends, short-term capital gains dividends, mid-term capital gains dividends, return-of-capital dividends, special dividends, and retained income dividends.

Distribution yield is available for the following security types on YCharts: mutual funds, ETFs, closed-end funds, and portfolios.

- ETFs & CEFs: Total distributions in the last 365 days / Price

- Mutual funds: Total distributions in the last 365 days / NAV

- Portfolios: Weighted average of holdings' distribution yields