Yield
GeneralThe income earned on an investment, expressed as a percentage of its value. Yield includes interest and dividends. A higher yield means more income, but often comes with more risk.
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Dividend
A payment made by a company to its shareholders, usually from profits. Dividends provide income from investments without selling them. In Canada, eligible dividends receive favourable tax treatment.
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Interest rate
The percentage a lender charges you to borrow money, or the percentage a bank pays you for keeping money in a savings account. Lower rates are better for borrowing; higher rates are better for saving.
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Portfolio
The collection of all your investments — stocks, bonds, mutual funds, GICs, and other assets held together. Diversifying your portfolio across different types of investments reduces risk.