Asked by Anonymous
Updated 3w ago
Hi there! No question is dumb, taking the effort and initiative to ask this question is already a good decision you've made for yourself, kudos to that!
To answer your question, dividend yield is usually indicated based on an annual yield basis. Therefore, 3.61% is what you will get should you purchase the ETF at the current price based on the dividends it has paid out for the previous year. Compounded semi-annually equates to dividend payouts being twice a year and then added together
I've gotten the below screen cap from SPDR website (https://www.spdrs.com.sg/etf/fund/spdr-straits-times-index-etf-ES3.html) on the ETF you mentoned. Hope it clarifies :)
To provide an example based on the above screen cap
The dividend yield above is based on the market price of $3.36 (as of 23 April) this means that based on the previous 2 dividends paid out as seen below
At the current price, the ETF's dividend yield is ($0.056+$0.06) / $3.36 = 3.46%
26 Apr 2019
Top Contributor (May)
No it just pays out half of that twice a year. And that was last year's yield. It changes every year.
26 Apr 2019