What is the meaning of Yield to maturity (YTM)?

Yield to maturity is the most precise measure of a bond's return over time. It takes into account the interest rate in relation to the price, the purchase or discount price in relation to the par value, and the years remaining until the bond matures. Although YTM figures are complex to calculate, brokers will supply this information if you ask, or you can use a calculator programmed to provide YTM figures.

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APABarry Goldsmith. (2010). Yield to maturity (YTM). Retrieved September 20, 2026, from http://smartdefine.org/yield_to_maturity_(ytm)/definitions/1166714
ChicagoBarry Goldsmith. 2010. "Yield to maturity (YTM)" http://smartdefine.org/yield_to_maturity_(ytm)/definitions/1166714 (accessed September 20, 2026).
HarvardBarry Goldsmith 2010, Yield to maturity (YTM), Smart Define, viewed 20 September, 2026, <http://smartdefine.org/yield_to_maturity_(ytm)/definitions/1166714>.
MLABarry Goldsmith. "Yield to maturity (YTM)" 21 October 2010. Web. 20 September 2026. <http://smartdefine.org/yield_to_maturity_(ytm)/definitions/1166714>