Yield to Call Calculator

Yield to Call Calculator calculator can be used to estimate the yield that will be received if a bond is called before its maturity date.

Input Parameters

Calculation Results

Calculation Formula

Yield to Call (YTC) = [(Call Price + Annual Coupon Payment * Years to Call + (Face Value - Current Price) / Years to Call) / ((Call Price + Face Value) / 2)]

Where:
Call Price = The price at which the bond can be called
Annual Coupon Payment = Face Value * Coupon Rate
Face Value = The face value of the bond
Current Price = The current market price of the bond
Years to Call = The number of years until the bond can be called

Result

Yield to Call (YTC): 0.00%

Yield to Call Calculator Calculator Usage Guide

Learn how to use the Yield to Call Calculator calculator and its working principles

How to Use the Yield to Call Calculator

  1. Enter the current price of the bond in the "Current Price" field.
  2. Enter the face value of the bond in the "Face Value" field.
  3. Enter the call price of the bond in the "Call Price" field.
  4. Enter the number of years until the bond can be called in the "Years to Call" field.
  5. Enter the coupon rate of the bond in the "Coupon Rate" field.
  6. Click the "Calculate" button to calculate the yield to call.
  7. The result will be displayed in the "Yield to Call (YTC)" field.

Understanding Yield to Call

The yield to call (YTC) is the yield that will be received if a bond is called before its maturity date. It is calculated by taking into account the current price of the bond, the face value, the call price, the number of years until the bond can be called, and the coupon rate.

The YTC is higher than the yield to maturity (YTM) if the bond is called, as it takes into account the potential capital gain from the call price being higher than the current price.