Bond Value Calculator
Calculate bond present value, current yield, and total returns
Bond Details
Enter your bond information
Bond Valuation
Bond Price$926.40
Annual Coupon$50.00
Total Coupons$500.00
Current Yield5.40%
Total Return42.64%
Understanding Bond Valuation
Bond Price: Present value of all future cash flows. When market rates rise, bond prices fall, and vice versa.
Current Yield: Annual coupon payment divided by current bond price. Measures income generation.
Yield to Maturity: Total return if held until maturity, considering purchase price and face value difference.
Bond Investment Guide
Key Concepts
- Face Value: Amount paid at maturity
- Coupon Rate: Annual interest percentage
- Inverse Relationship: Bond prices move opposite to interest rates
- Duration Risk: Longer bonds are more sensitive to rate changes
Investment Tips
- Diversify across different maturities (bond ladder)
- Consider credit rating and default risk
- Compare yield to maturity with similar bonds
- Factor in taxes on coupon income