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Quant: Time Value
Question | Answer |
---|---|
Bank discount yield | (Discount / Face) × (360 / days to maturity) |
Holding period yield | (Ending value / Beginning value) - 1 |
Effective annual yield | ((1 + HPY) ^ (365/days)) - 1 |
Money market yield | HPY × (360 / days to maturity) |
Effective semi-annual yield | (Annual effective yield ^ (1/2)) - 1 |
Bond Equivalent Yield (BEY) | 2 x (Effective semi-annual yield) |