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Compounding frequency |
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Definition of Compounding frequencyCompounding frequencyThe number of compounding periods in a year. For example, quarterly
Related Terms:CompoundingThe process of accumulating the time value of money forward in time. For example, interest compoundingWhen an asset generates earnings that are then reinvested and generate their own earnings. Compounding periodThe length of the time period (for example, a quarter in the case of quarterly compounding periodthe time between each interest computation Continuous compoundingThe process of accumulating the time value of money forward in time on a Continuous CompoundingThe process of continuously adding interest to a principal plus Discrete compoundingcompounding the time value of money for discrete time intervals. Discrete CompoundingThe process of adding interest to a principal plus interest amount Frequency distributionThe organization of data to show how often certain values or ranges of values occur. Reset frequencyThe frequency with which the floating rate changes.
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