Fund Manager can calculate three different types of yields over any specified time period. The types of yields are:
Fund Performance - Distributed Distributions
Fund Performance - Re-invested Distributions
Yields can be viewed in reports, or above the graphs if you have View / Yields turned on.
By default, yields for terms less than one year are not annualized, and yields for terms greater than one year are average annualized. Whether or not to average annualize yields can be controlled from the Preferences - Yield dialog.
For the yields displayed above the graphs, the yields are displayed for the yield term ending on the ending (right most) graph date. For example, if the graph is displaying data from 12/24/2003 to 6/3/2006, a reported 1 year yield is the yield from 6/4/2005 to 6/3/2006.
In order to calculate yields, Fund Manager requires pricing information for both the starting and ending dates of the yield term. If prices are recorded for both the starting and ending dates, Fund Manager will use those prices and calculate the yield. When a price is not recorded, Fund Manager can "interpolate" one. You can control when and how Fund Manager interpolates prices for yield calculations with the interpolation range settings. See Interpolation Range for a description of the interpolation range options and how they work. When a price is recorded or when Fund Manager interpolates a price, a yield will be calculated and displayed. When there is no recorded price and the interpolation range settings are set such that Fund Manager does not interpolate a price, "N.A." will be displayed for that yield.
The set of yield terms displayed above the graphs and on the yield reports can be specified with the Options / Preferences... / Yields dialog. In addition to these yield terms, an average annualized yield for the term from the beginning (left most) date of the graph to the ending (right most) date of the graph is also displayed above the graphs, and is labeled as "gph" to stand for "graph". The date range may be changed using the menu command View / Dates.
Fund Manager uses a bisection algorithm to iteratively solve for all yields.