Meaning MODIFIED DURATION: The ratio of Macaulay duration to (1 + y), where y = the bond yield. Modified duration is inversely related to the approximate percentage change in price for a given change in yield
More terms such as Modified duration in Dictionary M.
- Definition May Expand:
- Examples Used in the context of general equities. Warning that the size of the order/total may be increased. See: more behind it modified duration definition.
- Definition Money Order:
- Examples A financial instrument backed by a deposit at a certain firm such as a bank that can be easily converted into cash modified duration explain.
- Definition Money Market:
- Examples Money markets are for borrowing and lending money for three years or less. The securities in a money market can be U.S. government bonds, Treasury bills and commercial paper from banks and companies modified duration what is.
- Definition Matched And Lost:
- Examples The outcome of the flip of a coin used to determine which of two brokers who are locked in competition for equal trades may actually execute the trades modified duration meaning.
- Definition Mob Spread:
- Examples The yield spread between a tax-free municipal bond and a Treasury bond with the same maturity modified duration abbreviation.
