Good explanation!!! But i guess it's for a particular case. Because for annuity it wont walk, since the formula of the the bond price will be the present value of annuity to maturity (can be 5 ,10, 20, 30,... ) times the coupon, and added the present value of the principal. This will give a more complex equation to get the YTM.
Good explanation!!! But i guess it's for a particular case. Because for annuity it wont walk, since the formula of the the bond price will be the present value of annuity to maturity (can be 5 ,10, 20, 30,... ) times the coupon, and added the present value of the principal. This will give a more complex equation to get the YTM.
georgesdel 1 year ago
Thanks a lot! :)
TorBarstad 1 year ago