ytmZeroCouponBond {bondAnalyst} R Documentation

Calculates the Yield-To-Maturity(YTM) of a Zero-Coupon Bond.

Description

Calculates the Yield-To-Maturity(YTM) of a Zero-Coupon Bond.

Usage

ytmZeroCouponBond(maturityVal, n, price)


Arguments

 maturityVal A number. n A number. price A number.

Details

The method ytmZeroCouponBond() is developed to compute the Yield-To-Maturity a Zero-Coupon Bond. So, ytmZeroCouponBond() gives the Price of a Zero-Coupon Bond for values passed to its three arguments. Here, maturityVal represents the Maturity Value of the Bond, n is number of years till maturity, and price is Market Price of Zero-Coupon Bond. The output is rounded off to three decimal places. The given examples show various ways in which the arguments can be passed to ytmZeroCouponBond().

Value

Input values to three arguments maturityVal , n and price.

Author(s)

MaheshP Kumar, maheshparamjitkumar@gmail.com

References

Adams,J.F. & Smith,D.J.(2019). Introduction to fixed-income valuation. In CFA Program Curriculum 2020 Level I Volumes 1-6. (Vol. 5, pp. 107-151). Wiley Professional Development (P&T). ISBN 9781119593577, https://bookshelf.vitalsource.com/books/9781119593577

Examples

ytmZeroCouponBond(maturityVal=100, n=60, price=22.375)
ytmZeroCouponBond(100, 60, 22.375)


[Package bondAnalyst version 1.0.1 Index]