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Bond Duration Calculator
Macaulay and Modified Duration — bond price sensitivity to yield.
Enter values to see your result
Frequently asked questions
What is duration in simple terms?
How long (in years) it takes for your bond to pay back its price via cashflows. Longer duration = more sensitive to rate changes.
Duration vs maturity?
Maturity is just when the bond ends. Duration accounts for all cashflows (coupons). Zero-coupon bond duration = maturity. Coupon bond duration < maturity.
Why use modified duration?
Direct price-yield elasticity: Δ price % ≈ -Modified Duration × Δ yield %. A 5-year modified duration bond drops ~5% if rates rise 1%.
Does duration matter for short bonds?
Less — 1-year bond has ~1 year duration, small rate sensitivity. 30-year bonds have 15+ duration, dramatic price swings.