Information about financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.
Main Page: money, financial advisor, accounting, business, inventory control, financial, credit, finance,
Definition of Modified duration
The Macaulay duration discounted by the per-period
The ratio of Macaulay duration to (1 + y), where y = the bond yield. modified duration is
The product of modified duration and the initial price.
A common gauge of the price sensitivity of an asset or portfolio to a change in interest rates.
The weighted average of the time until maturity of each of the
The expected life of a fixed-income security considering its coupon
The time it takes for a policy or annuity to reach maturity.
The duration calculated using the approximate duration formula for a bond with an
Agency pass-throughs that guarantee the timely payment of both interest and
The weighted-average term to maturity of the cash flows from the bond, where the
A widely used measure of price sensitivity to yield
A depreciation method created by the IRS under the Tax Reform Act of 1986. Companies must use it to depreciate all plant and equipment assets installed after December 31, 1986 (for tax purposes).
Depreciation method that allows higher tax deductions in early years and lower deductions later.
the method of cost assignment that uses FIFO to compute a cost per
Agency pass-throughs that guarantee (1) timely interest payments and (2) principal
A modification of standard duration to account for the impact on duration of MBSs of
A situation in which the price of the MBS moves in the same direction as interest rates.
Related to : financial, finance, business, accounting, payroll, inventory, investment, money, inventory control, stock trading, financial advisor, tax advisor, credit.