SphinxRisk

Yield on cost

What the last twelve months of dividends amount to, measured against the money you put in.

In the demo portfolio 1.3%

How it is computed here

Trailing-twelve-month income divided by net invested. Deliberately not divided by today's market value, which is the figure a broker quotes.

Worked example

  1. Dividends of the last twelve months $137 ÷ market value $18,736.

Demo portfolio: four invented companies, generated prices, measured by the real engine. Past returns do not predict future ones.

Where it misleads

The two answer different questions. A broker's yield says what you would collect buying today; this says what the money you already committed is yielding. A position bought cheap years ago yields a lot on its cost and little on its price, and both numbers are true.

How did it do?