Question
bond yields
(are/aren't) quoted like APRs.
(are/aren't) quoted like APRs.
Answers
GPT-4o mini
Bond yields are quoted differently than Annual Percentage Rates (APRs). While APRs represent the annualized cost of borrowing or the annual return on an investment expressed as a percentage, bond yields typically reflect the return on investment for a bond, often calculated as a percentage of the bond's face value or price.
In particular, bond yields can be expressed in several ways, such as current yield, yield to maturity (YTM), or yield to call (YTC), each providing different perspectives on the expected return. Therefore, to answer your question: bond yields **aren't** quoted like APRs.
In particular, bond yields can be expressed in several ways, such as current yield, yield to maturity (YTM), or yield to call (YTC), each providing different perspectives on the expected return. Therefore, to answer your question: bond yields **aren't** quoted like APRs.