Dear Sir or Madam
My question seeks to identify the annual percentage yield on a money market fund.
Name: Joe
level of question: secondary
Joe is asking the question.
If you have $360,767 in a money market fund that has accumulated a total of $2,127 in year to date dividends (an eight month period January to August) what is the annual percentage yield.
PSI'm a senior citizen who has checked the various calculators but is stymied.
Thanks in advance
Joe

Joe,
I'm only guessing that your interest is compounded monthly  if not it won't make much difference given your figures. $P invested at a rate of r% compounded monthly for m months grows to $P(1+r/12)^{m}. Your $360767 investment in 8 months has grown to $362894 which it would do at a paltry rate of about 0.885 of a percent rate per year (a bit less than 1 percent). In 1 year you will have $363973, a gain of about $3206; paltry return!
Penny
