Bond Calculator

Estimate yield to maturity, current model price, duration, modified duration, convexity, and cash flow schedule from face value, coupon rate, market price, years to maturity, and payment frequency.

How to use this calculator

Enter the face value, coupon rate, market price, years to maturity, and payments per year. The calculator solves for yield to maturity using the price implied by coupon and principal cash flows, then reports duration and convexity to summarize interest-rate sensitivity. For simpler rate accumulation, compare with the interest calculator or future value annuity calculator.

How it works

Each coupon payment is discounted back to today. The final period includes both the coupon and face value. Yield to maturity is the annual rate that makes the present value of all cash flows equal the market price.

$price = \sum cash\ flow_t \div (1 + yield \div payments)^t$

Duration weights each cash flow by when it is received. Modified duration adjusts that measure to estimate price movement for a small yield change.

Example

For a 1,000 dollar face value bond, 5 percent coupon, 980 dollar market price, 10 years to maturity, and semiannual coupons, the yield to maturity is slightly above the coupon rate because the bond is priced below par.

Interpreting results

Higher duration means greater sensitivity to rate changes. Convexity refines that estimate for larger moves. This calculator does not model call features, credit risk, taxes, or reinvestment results, so use it as an educational fixed-income estimate, not personalized investment advice.