Equivalent bond yield


 

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Equivalent bond yield

Annual yield on a short-term, noninterest-bearing security calculated for comparison to yields quoted on coupon securities.



Equivalent bond yield

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Certainty equivalent

Certainty equivalent

An amount that would be accepted today (risk free) in lieu of a chance to receive a possibly higher, but uncertain, amount.


Coupon equivalent yield

Coupon equivalent yield

True interest cost expressed on the basis of a 365-day year.


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The quota that sets the same level of imports that is entering a country under a tariff, or perhaps under some other NTB.


Tax equivalent yield

Tax equivalent yield

The pre-tax yield required from a taxable bond in order to equal the tax-free yield of a municipal bond.


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Corporate taxable equivalent

Rate of return required on a par bond to produce the same after-tax yield to maturity that the quoted premium or discount bond would generate.


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