The fund’s income ratio reveals the percentage of current income earned per share. It is calculated by dividing the fund’s net investment income by its average net assets. (Net investment income is the total income of the fund, less expenses.) An income ratio can be negative if a fund’s expenses exceed its income, which can occur with funds that have high costs or tend to emphasize capital gains rather than income. Because the income ratio is based on a fund’s fiscal year and is taken directly from the fund’s annual shareholder report, it may not exactly correspond with other calendar-year information on the page.
Sponsored Links