Yield to Maturity (YTM) Calculator
Our yield to maturity (YTM) calculator measures the annual return an investor would receive if a particular bond is held until maturity.
To calculate a bond’s yield to maturity, enter the face value (also known as “par value”), the coupon rate, the number of years to maturity, the frequency of payments and the current price of the bond.
For example, if you can buy a bond with a $1,000 face value and 8% coupon for $900, and the bond pays interest twice a year and matures in 5 years, enter “1,000” as the Face Value, “8” as the Annual Coupon Rate, “5” as the Years to Maturity, “2” as the Coupon Payments per Year, and “900” as the Current Bond Price.
| Face Value: | ||
| Annual Coupon Rate: | ||
| Years to Maturity: | ||
| Coupon Payments per Year: | ||
| Current Bond Price: | ||
What it Means...
If you buy this bond today, you will earn 11.13% per year.
If the bond you’re analyzing is callable, you should use the Yield to Call (YTC) calculator.
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