Commercial Paper Yields
Like Treasury Bills, yields on commercial paper are quoted on a discount basis—the discount return to commercial paper holders is the annualized percentage difference between the price paid for the paper and the par value using a 360-day year. Specifically: icp(dy) = x (360/h)
and when converted to a bond equivalent yield:
icp(bey) = x (365/h)
Read more about this topic: Commercial Paper
Famous quotes containing the words commercial, paper and/or yields:
“I do seriously believe that if we can measure among the States the benefits resulting from the preservation of the Union, the rebellious States have the larger share. It destroyed an institution that was their destruction. It opened the way for a commercial life that, if they will only embrace it and face the light, means to them a development that shall rival the best attainments of the greatest of our States.”
—Benjamin Harrison (1833–1901)
“The hand that signed the paper felled a city;
Five sovereign fingers taxed the breath,
Doubled the globe of dead and halved a country;
These five kings did a king to death.”
—Dylan Thomas (1914–1953)
“Only he who can view his own past as an abortion sprung from compulsion and need can use it to full advantage in the present. For what one has lived is at best comparable to a beautiful statue which has had all its limbs knocked off in transit, and now yields nothing but the precious block out of which the image of one’s future must be hewn.”
—Walter Benjamin (1892–1940)