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- Topic: Clean and Dirty prices
| Author | Topic: Clean and Dirty prices |
|---|---|
| Dmitry @2014-06-19 07:26:00 |
Okay, heres an issue im having trouble getting round my head. Say you have a $100, 10% coupon annual bond with a YTM of 10%. Assume the YTM stays the same throughout the bonds life. Is the clean price always $100 whilst the dirty price is $100 just after the coupon payment and $110 just before the coupon payment? |
| CFARvO @2014-06-25 20:27:00 |
Hi,
What you say is correctly: Dirty price = price on the exchange + interest Clean price = just the actual price om the exchangee |
