calculate_dividend_yield

Does the description disclose side effects, auth requirements, rate limits, or destructive behavior?

No annotations are present, so the description carries full burden. It does not disclose any behavioral traits beyond the formula, such as division-by-zero handling (e.g., if market_price is zero), accuracy, or output specifics. The output schema exists but is not referenced.

Agents need to know what a tool does to the world before calling it. Descriptions should go beyond structured annotations to explain consequences.

Is the description appropriately sized, front-loaded, and free of redundancy?

The description is a single, focused sentence that directly states the tool's purpose and formula. No unnecessary words or repetition.

Shorter descriptions cost fewer tokens and are easier for agents to parse. Every sentence should earn its place.

Given the tool's complexity, does the description cover enough for an agent to succeed on first attempt?

For a simple calculation tool, the description covers its core purpose. The presence of an output schema reduces the need to describe return values. However, lacking usage guidance and edge-case behavior leaves minor gaps.

Complex tools with many parameters or behaviors need more documentation. Simple tools need less. This dimension scales expectations accordingly.

Does the description clarify parameter syntax, constraints, interactions, or defaults beyond what the schema provides?

Schema description coverage is 0%, but the description maps parameters to financial terms: 'dividend_per_share' is explained as 'Annual Dividend' and 'market_price' as 'Market Price'. This adds meaningful context beyond the raw parameter names.

Input schemas describe structure but not intent. Descriptions should explain non-obvious parameter relationships and valid value ranges.

Does the description clearly state what the tool does and how it differs from similar tools?

The description clearly states the tool calculates dividend yield using the formula 'Annual Dividend / Market Price × 100'. It uses a specific verb ('Calculate') and resource ('dividend yield'), distinguishing it from sibling tools like calculate_current_yield or calculate_ytm.

Agents choose between tools based on descriptions. A clear purpose with a specific verb and resource helps agents select the right tool.

Does the description explain when to use this tool, when not to, or what alternatives exist?

No guidance is provided on when to use this tool versus alternatives such as 'calculate_current_yield' or other yield calculations. The context or prerequisites for using dividend yield are not mentioned, leaving the agent to infer usage.

Agents often have multiple tools that could apply. Explicit usage guidance like "use X instead of Y when Z" prevents misuse.