What does "Yield % (TTM)" mean for a Mutual fund?

http://quicktake.morningstar.com/fundnet... <---It says Yield% (TTM) and its only 0.74 is tha good? and what does tha mean?

http://quicktake.morningstar.com/fundnet...

Well the yield on this Mutual Fund is 2.71 Right now....Which fund would be better to put my money into for an IRA...

I've always wondered that too....my Vanguard account says
Yield 1.94%, so maybe .74 is low.

But the average interest my account makes is 14.8% a year. I don't know the connection between the two.

The post below me is wrong. The Yield is NOT the interest the account has made in the past year. Mine last year made 14.8% and 15% the year before and over 14.0% since the funds inception, but the yield has always been 1.9 something.

Re: Lori M:
Yield IS return on investment, discount rate, interest, percentage return.
If you look here, http://stocks.us.reuters.com/stocks/over...
You'll see that Dividends for that particular fund is $0.48 per share, but the PERCENTAGE YIELD is over 9%. (I believe the 1.9 figure for your fund might be the dollar amount, not the percentage). I have Vanguard as well, but for my 401K only. Their returns are fair for 401K, but not that great if you'd prefer to choose from all the funds out there. Please keep in mind that the HYI fund I linked above is a fund I randomly chose, if you do some research, you'll find that returns over 10% is usually the norm for funds. You have mentioned returns of 14% and 15% yourself.
Thanks for checking up on my answer, though! :-)


Re: coolking32

0.74% is NOT good. You can ususally get that kind of return with personal checking accounts at a local bank.

The Yield% is the amount of money (percentage-wise) that the fund as made. This is the rate of return. TTM should stand for "Trailing Twelve Months".

That means this particular fund has only generated 0.74% return in the past YEAR, which is not good at all. Granted that last year was a pretty good year for US Markets and a spectacular year for Asian markets, you should be expecting something in the range of 10% to 20%. You'll really have to look at the sector as well. Also, if this is a bond fund, it would be lower. BUT, basically, the fund you're looking at would have given you $0.74 if you invest $100 on July 31, 2006; whereas if you would have put $100 in any other average fund during the same period, it would have given you about $10 to $20 (instead of $0.74)

All in all, you should look at the Annualized return for the past 10 to 15 years. On average, what is the return of the fund per year for each of the past 10 or 15 years? It's possible that they just had a bad year, maybe poor management, maybe it's a brand new fund. Please keep in mind that the past doesn't necessarily reflect the future. It's possible that the fund will generate 50% return next year, but if you look at the fund's history over the past 15 years and their returns have never surpassed 2%, then the possibility of getting that 50% return on investment is pretty slim.

Also keep in mind that we had a decent-sized dip in markets around the world last week. So if you've just recently looked at this data and saw 0.74%, it may be possible that the fund actually went up 15%, and then dropped to 0.74% because it's invested in small-cap aggressive/risky stocks.

You'll really have to look closely at the numbers, but if you just told me 0.74% return TTM, I wouldn't think it's a good idea. If the numbers for each of the past years is closer to 10%, I'd probably get it if it's for a 401K or other means for retirement.

Hope this helps.

It means profit for the trailing twelve months.

Yield % (TTM) is the total yield for the fund over the past (trailing) twelve months...TTM. Trailing twelve months is up until the latest report as opposed to a yield reported for a calendar year.

Whether or not it is good depends upon how other funds in the same category performed for that same exact time period.

please everyone stop comparing and confusing yield with return... how much a mutual fund returns and it's yield are not directly correlated....

you cannot compare an equity mutual fund's yield of 2% to your accounts total return of 14% ... you cannot compare it to the savings account yield..

ttm : trailing twelve months.

look at the funds performance compared to its bench mark to get an idea of how it performed.

look at its beta and alpha to get an idea of how risky it is for its return

look at the funds holding and make sure there is minimal style drift.

look at how this fund will fit into your total financial picture... does it fill a role?
will it help you be diversified? or help you be concentrated in an area you think will outperform?

,,, anyways thats my ramble.. cheers