MDURATION

MDURATION(settlement, maturity, coupon, yld, frequency [,basis])

Returns the modified duration for a security that pays interest periodically.

settlement	The settlement date of the security.
maturity	The maturity date of the security.
coupon	The annual coupon rate of the security.
yld	The annual yield of the security.
frequency	The number of coupon payments per year: 1 = annual 2 = semi annual 4 = quarterly
basis	(Optional) The type of day counting to use. 0 = 30/360 (default, US convention) 1 = Actual/Actual 2 = Actual/360 3 = Actual/365 4 = 30/360 (European convention)

REMARKS

* This function assumes the par value is $100.
* This function calculates the annual modified duration for a security with regular interest payments adjusted for markey yield per number of coupon payments a year.
* Duration is the weighted average of the coupon payment cash flows and is a measure of the bond's interest rate risk and MDuration divides the duration by (1 + yield/frequency).
* Dates must be entered as text strings with quotation marks or as serial numbers.
* The "settlement" date is the date a buyer purchases a coupon, such as a bond.
* If "settlement" is not a valid date, then #NUM! is returned.
* If "settlement" >= "maturity", then #NUM! is returned.
* The "maturity" is the date when the security expires.
* If "maturity" is not an integer, it is truncated.
* If "maturity" is not a valid date, then #NUM! is returned.
* If "yld" < 0, then #NUM! is returned.
* If "coupon" < 0, then #NUM! is returned.
* If "frequency" is not an integer, it is truncated.
* If "frequency" is any number other than 1, 2, or 4, then #NUM! is returned.
* If "basis" is left blank, then 0 is used.
* If "basis" is not an integer, it is truncated.
* If "basis" < 0, then #NUM! is returned.
* If "basis" > 4, then #NUM! is returned.
* The difference between the US convention and the European convention is how they handle the last day of the month. more
* You can use the DURATION function to return the annual duration of a security that pays interest periodically.
* For the Microsoft documentation refer to support.microsoft.com
* For the Google documentation refer to support.google.com

	A
1	=MDURATION("1/1/1999", "1/1/2007", 0.08, 0.09, 2, 1) = 5.736
2	=MDURATION("1/1/1999", "1/1/2007", 0.08, 0.09, 2, 2) = 5.736
3	=MDURATION("1/1/1999", "1/1/2007", 0.08, 0.09, 2, 3) = $5.74
4	=MDURATION("1/1/1999", "1/1/2007", 0.12, 0.15, 2) = $4.78
5	=MDURATION("1/1/1999", "1/1/2007", 0.08, 0.09, 2, -1) = #NUM!
6	=MDURATION("1/1/1999", "1/1/2007", 0.08, 0.09, 2, 5) = #NUM!