Investopedia

Distribution Yield

Dictionary Says

Definition of 'Distribution Yield'

The amount of cash flow received or paid out by an annuity, REIT or other similar income paying instrument. The distribution yield of a security is calculated by dividing the distributions paid (yearly, monthly, etc.) by its cost or net asset value. Distribution yield can be used as a measure of investment cash flow provided by an investment relative to the cost paid for that investment.
Investopedia Says

Investopedia explains 'Distribution Yield'

For instance, a REIT trading at an average annual price of $20 per unit which distributed $5 in distributions to unit holders would thus have a distribution yield of 0.25, or 25%. A REIT, annuity or fund with a higher yield with the same or similar cost of contract or ownership would then be considered, on the basis of cash flow only, a superior investment.

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