bondFigure: Bond price as a function of interest rate.
In arolluom/RcmdrPlugin.RiskDemo: R Commander Plug-in for Risk Demonstration

Description Usage Arguments Details Value Author(s) References See Also Examples

This function plots the bond price as a function of interest rate. It also shows, using dotted lines, the yield to maturity rate corresponding to the face value, and the flat price corresponding to the yield to maturity.

1	bondFigure(buyDate, matDate, rateCoupon, yieldToMat = NULL, bondPr = NULL, nPay)

`buyDate`	the date when the coupon is bought (settlement date)
`matDate`	maturity date
`rateCoupon`	coupon rate (in decimals)
`yieldToMat`	yield to maturity (in decimals)
`bondPr`	the flat price of the bond
`nPay`	number of coupon payments per year

either yieldToMat or bondPr should be given as input.

This function only plots a figure.

Arto Luoma <arto.luoma@wippies.com>

Bodie, Kane, and Marcus (2014) Investments, 10th Global Edition, McGraw-Hill Education, (see Section 14.2 Bond Pricing).

bondPrice, solveYield

1 2	bondFigure("2012-7-31","2018-7-31",rateCoupon=0.0225,yieldToMat=0.0079,nPay=2) bondFigure("2012-7-31","2018-7-31",rateCoupon=0.0225,bondPr=90,nPay=2)