Instantly find your bond’s yield to maturity and understand how interest rate changes affect your investment.
A coupon bond yield (YTM) represents the return you earn from a bond’s periodic interest payments and any capital gain or loss if it’s sold before maturity.
It reflects how much income an investor receives relative to the bond’s market price and face value
The formula for a coupon bond’s yield to maturity (YTM) considers its coupon rate, market price, face value, and years to maturity.
Because it involves solving for the discount rate that equates the bond’s current price with the present value of its future payments, manual calculation can be complex.
Enter your bond details below — face value, coupon rate, years to maturity, and market price — to get your yield to maturity instantly.
Compare yields across different coupon rates and maturities to find the most efficient investment.
Let’s say you buy a bond with:
Face value: $1,000
Annual coupon rate: 5%
Market price: $950
Years to maturity: 5
The annual coupon payment is $50.
Using the Coupon Bond Yield Calculator, the estimated yield to maturity is 6.2%, meaning that’s your average annualized return until the bond matures.
It’s the annual return you earn from a bond’s interest payments and any price difference from purchase to maturity.
Most coupon bonds pay interest semiannually, though some make annual or quarterly payments.
Market interest rates, time to maturity, and the bond’s price compared to its face value.
You can, but it involves solving for a rate in a present value equation — our calculator automates this instantly.
Get accurate results in seconds and make smarter bond investment decisions with our free calculator.
Calculate monthly payment of your dream car
Calculate Bond Yield that pays coupon periodically
Calculate Bond's AI and Dirty Price