Most people who invest in ETFs are doing so for the income generated by the distributions these securities pay. It’s important for ETF investors to understand how their distributions are taxed and what happens to that yield when the ETF is held in a taxable account. ETF distributions can be made up of dividends, capital […]
What Does Distribution Rate Mean In Stocks, Etf
When you invest in stocks or exchange-traded funds (ETFs), you’re hoping to make money from the increase in the stock’s or ETF’s price. You also may receive dividends, which are payments made to shareholders from the company’s profits. One thing you may hear about is the distribution rate. This is the percentage of the dividend […]
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