What context can I use each word in?
Learn when and how to use these words with these examples!
dividend
Example
The company announced a dividend of $1 per share. [dividend: noun]
Example
Investors are attracted to stocks with high dividends. [dividends: plural noun]
yield
Example
The bond has a yield of 5%. [yield: noun]
Example
The stock yielded a profit of $1000. [yielded: past tense verb]
Good things to know
Which word is more common?
Yield is more commonly used than dividend in everyday language. Yield is versatile and covers a wide range of contexts, while dividend is more specific to the context of stocks and investments.
What’s the difference in the tone of formality between dividend and yield?
Both dividend and yield are formal words that are commonly used in financial contexts. However, yield is more versatile and can be employed in various formality levels, allowing it to be used in both formal and informal contexts.