Municipal Bond Yield Price

The yield is the annual percentage rate of return earned. Yield is one of the most important features to look for when investing in municipal securities, or securities in general. The higher the yield, the more interest one will gain on their investment.

Yields can vary due to general economic factors, including fluctuations in interest rates and expected changes in inflation. For particular bond issues, yields can go either up or down based on the issuer�s credit or the supply and demand. The price of a municipal security is based on a par value of 100. Premium bonds trade above the par value, while discounted bonds trade below it.

For more information on Yield & Price, visit the Municipal Securities section.