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  1. Yield to Maturity (YTM) Definition & Example | InvestingAnswers

    Mar 10, 2021 · Yield to maturity (YTM) measures the annual return an investor would receive if he or she held a particular bond until maturity.

  2. Macaulay Duration Definition & Example | InvestingAnswers

    Nov 6, 2020 · y = the periodic yield to maturity or required yield n = number of periods M = maturity value (in $) PV = market price of bond (in $) The formula is complicated, but what it …

  3. Duration | Definition & Examples | InvestingAnswers

    Jan 10, 2021 · What does bond duration mean? This financial definition walks you through how to calculate duration using real-world examples and simple formulas.

  4. Yield Curve Definition & Example | InvestingAnswers

    Nov 24, 2020 · How Does a Yield Curve Work? The yield curve shows the various yields that are currently being offered on bonds of different maturities. It enables investors at a quick glance …

  5. Current Yield Definition & Example | InvestingAnswers

    Oct 5, 2020 · Current yield represents the prevailing interest rate that a bond or fixed income security is delivering to its owners.

  6. Perpetual Bond Definition & Example | InvestingAnswers

    Oct 5, 2020 · A perpetual bond is a debt with no maturity date. Here's how to calculate your return: Current Yield = (Annual Dollar Interest Paid) / (Market Price) X…

  7. YTW -- Yield to Worst -- Definition & Example | InvestingAnswers

    Oct 5, 2020 · How Does Yield to Worst (YTW) Work? The concept is best illustrated with an example. Let's assume you own a callable bond issued by Company XYZ. The bond has a …

  8. Weighted Average Maturity (WAM) Definition & Example

    Aug 21, 2020 · Weighted Average Maturity Calculation with Example The WAM can be calculated by determining the weight of each maturity in the average, multiplying that weight by the …

  9. Credit Spread Definition & Example | InvestingAnswers

    Aug 21, 2020 · A credit spread is the difference between the yields of two bonds that offer the same coupon and have the same maturity.

  10. Yield Maintenance Definition & Example | InvestingAnswers

    Oct 1, 2019 · The bank calculates yield maintenance based on current interest rates and projected rates over the course of the life of the mortgage. Why Does Yield Maintenance …