@YIELD

@YIELD(settlement;maturity;coupon;price;[redemption];[frequency];[basis]) returns the yield for securities that pay periodic interest.



Arguments

settlement is the security's settlement date. settlement is a date number or the address of a cell containing a date number. A date number is a number from 1 through 2958525 assigned in sequence to each date from January 1, 1900, through December 31, 9999. For example, the date number for July 21, 1991, is 33440. When you use an @function to enter a date number, you can then format the number in the sheet to look like a date.

maturity is the security's maturity date. maturity is a date number. If maturity is less than or equal to settlement, @YIELD evaluates to ERR, indicating an error.

coupon is the security's annual coupon rate. coupon is any positive value or 0.

price is the security's price per $100 face value. price is any positive value.

redemption is an optional argument that specifies the security's redemption value per $100 face value. redemption is any positive value or 0. If you omit the redemption argument, 100 is used.

When frequency is ... Frequency of coupon payments is ...
1 Annual
2 Semiannual; default if you omit the argument
4 Quarterly
12 Monthly
When basis is ... Day-count basis is ...
0 30/360; default if you omit the argument
1 Actual/actual
2 Actual/360
3 Actual/365
4 European 30/360

You cannot use an optional argument without using the ones that precede it.



Examples

A bond has a July 1, 1993, settlement date and a December 1, 1998, maturity date. The semiannual coupon rate is 5.50%. The bond costs $99.50, has a $100 redemption value, and a 30/360 day-count basis. You want to determine the bond's yield (a percentage):

@YIELD(@DATE(93;7;1),@DATE(98;12;1),0.055,99.5,100,2,0) = 0.056072