WebCab Bonds for COM v2.01

DurationConvexity.PercentagePriceChangeWithDifferingCompounded Method 

Evaluates the percentage change in a bond portfolios value when interest rates experience a small parallel shift.

public double PercentagePriceChangeWithDifferingCompounded(
   double duration,
   double yield,
   int periodsCompoundedOver,
   double deltaYield
);

Parameters

duration
The duration of the bond portfolio.
yield
The yield of the bond portfolio compounded 'periodsCompoundedOver' time a year.
periodsCompoundedOver
The number of time periods per annum which the yield is compounded over.
deltaYield
The small parallel shift in the bond portfolios yield, expressed in decimal format (i.e. 1 percent = 0.01).

Return Value

The percentage change of the price of bond in decimal format (i.e. 1 percent = 0.01).

Remarks

Note, that here the yield is quoted with a compounding frequency of periodsCompoundedOver times a year.

See Also

DurationConvexity Class | WebCab.COM.Finance.Bonds Namespace