How it is worked out
The interest income of the last 30 days, less the fund's expenses, as a yearly percentage of the price, by the formula the SEC sets.
How to read it
- It is close to what the fund earns now, after its costs.
- It differs from yield to maturity and from distribution yield, since it measures another period in another way.
Example
30 days of interest income of 0.35% of the price, after expenses: an SEC yield of about 4.3% a year.