Fixed Income
Yield to Worst
Definition
What is Yield to Worst?
The lowest yield among specified redemption scenarios that do not assume issuer default.
Example in practice
How This Looks in Practice
A callable bond's yield to worst may be its yield to the earliest call date.
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Related Terms
Fixed Income
Bond
A debt security through which an investor lends money to an issuer in return for promised payments.
Fixed IncomeIssuer
The government, company, or organisation that creates and sells a security.
Fixed IncomeFace Value
The principal amount stated on a bond and usually repaid at maturity.
Money MarketsTreasury Bill
A short-term government debt instrument usually issued at a discount and repaid at face value.