1 Once upon a time, when you bought broccoli you bought the whole vegetable, stems and crowns. Then it became customary for grocery store produce departments to separate the crowns from the stems and to sell the crowns at a premium. 2  Iâm not a fan of this practice, because I like both parts of the broccoli plant.
A company's first issue of common stock to the public is called an Initial Public Offering. Afterwards, a corporation may issue new equity at any time in order to finance its growth. When new common shares are offered to existing shareholders first, this is called a rights offering.
The current yield of a fund is the monthly distribution amount annualized and divided into the fund share price. For example, if a fund is paying a 5 cent dividend every month and the share price is $10, the current yield is 6 percent. Bond funds also publish what is called the 30-day SEC yield.