Thirty/Three Sixty (30/360)

Definition:

Day count convention for calculating interest accrued on corporate bonds, municipal bonds, and agency bonds in the U.S. Uses 30 days in a month and 360 days in a year for calculating interest payments. Also see Day count convention.

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Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Total return

In performance measurement, the actual rate of return realized over some evaluation period. In fixed income analysis, the potential return that considers all three sources of return (coupon interest... Read More

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