What is a Bond Equivalent Yield?

Because the cash flow is paid semi-annually, in the investment field, it is customary to calculate the annual maturity rate by multiplying the half-year maturity rate by two. This type of maturity rate is also called a bond. Equivalent yield.

Bond equivalent yield

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Because the cash flow is paid semi-annually, in the investment field, it is customary to calculate the annual maturity rate by multiplying the half-year maturity rate by two. This type of maturity rate is also called a bond. Equivalent yield.

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