Calculate The Macaulay Duration Of A Bond In Excel скачать в хорошем качестве

Calculate The Macaulay Duration Of A Bond In Excel

We cover how to calculate the duration or Macaulay duration of a bond which is a measure of bond price sensitivity. The duration is the weighted average maturity of a bond as shown in the formula below. In our example, we’ll assume that we have a bond with a par value of £100, a coupon rate of 7%, 5 years to maturity and a yield to maturity of 5%. We then compare the duration of a 7% coupon bond with a 6% coupon bond. If we decrease the coupon rate, the duration increases. This means that an investor who switches from the 7% to the 6% bond will have a greater interest rate risk. The same applies when we increase the maturity. This increases the duration which increases the interest rate risk. Access the templates featured in The Excel Hub's video tutorials here: https://theexcelhub.myshopify.com/ Subscribe for weekly Excel tutorials, techniques and examples:    / @theexcelhub   Please share this video with others that may find it useful:    • Calculate The Macaulay Duration Of A Bond ...   Please comment below if you have any feedback or any suggestions for videos you would like us to upload next! 🌍 The Excel Hub website: https://theexcelhub.com/ 📸 Instagram:   / theexcelhub   ABOUT US: The Excel Hub seeks to enhance your Excel and VBA knowledge by providing value-adding tutorials, techniques and examples in order to help you take your spreadsheet and data analysis skills to the next level. For any enquiries, please contact: theexcelhub@outlook.com Overview: (0:00) Intermediary Calculations: (0:41) Calculate Duration: (2:24)