Current Yield
Current Yield is the annual interest on a bond divided by the current market price of the bond. It is the actual income rate of return as opposed to the?coupon rate?or the?yield to maturity. For example, if a 10% coupon rate bond with a face (or par) value of $1000 can be bought at a market price of $900, and the annual income (coupon payment) is $100; the current yield of the bond is 11.1% ($100/$900).