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Keywords:
Ignores,
Unadjusted,
Annum,
Quoted,
Compounding
The stated interest rate on a bond, unadjusted for inflation.
a stated rate that ignores the effect of compounding
a stated rate that ignores the effect of inflation on purchasing power
Interest rate of a bond.
An interest rate quoted as a rate per annum; it is equal to the interest Of Interest rate per compounding period multiplied by the number of compounding periods.(For example, j2 = 10%; j4=12%; j12=11.5%).
See the Note Rate entry.
The stated interest rate that is paid on an investment. Does not include compounding.
The interest rate stipulated in a contract.
The quoted interest rate for a mortgage.
Also known as nominal yield. The percentage of annual interest which would be earned from a fixed income investment (for example, bonds) if the security was purchased at par value; actual rate of return is usually different.
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