Market Lab

Move yields, correlation, option prices and FX rates through synthetic scenarios.

Bond price and yield

Price a fictional annual-pay bond with $1,000 face value and no default.

Coupon (%)0 to 15Market yield (%)-5 to 20Years to maturity1 to 30

Bond price

957.88 USD

Discount 50 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

Yield exceeds the coupon rate, so the bond trades below par.

Sensitivity to coupon (%)

0747.26

Discount 0 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

4915.75

Discount 40 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

7.51,063.19

Discount 75 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

11.51,231.68

Discount 115 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

151,379.11

Discount 150 USD of coupon each year for 5 years at 6% per year. Also discount the 1,000 USD principal from maturity. The price is the sum of those present values.

Outputs in USD. Other assumptions held fixed.