This form allows you to calculate running yield and yield to maturity for a bond or preference share. Please input the current bond price, par value (usually 100), purchase or settlement date (dd/mm/yyyy), and maturity date (dd/mm/yyyy). The bonds yield to maturity and running yield are shown below.

Initial Data  
Current Bond Price
Bond Par Value
Bond Coupon Rate (% p.a.) %
Settlement Date (dd/mm/yyyy)
(date your purchase settles)
Maturity Date (dd/mm/yyyy)
(date bond matures use 01/01/2100 for perps)
Result  
Running Yield %
Yield to Maturity (YTM)
for perps see running yeild
%

Currently the calculator is setup for annual dividends. Results for quarterly or bi-annual coupons will vary slightly. Also no attempt is made to correct for
accrued coupons/dividends where bonds or preference shares trade dirty.

Yield to maturity – is a calculation that takes account of both the income flows from the coupon and any capital gain or loss incurred over holding
the bond to maturity. This is the best tool for evaluating bonds.

Running yield – is a simple calculation, sometimes known as “flat yield”. This calculates the annual return on money invested in terms coupon payments. It does not take into account capital gains or losses.