No. of Recommendations: 3
Has anything changed significantly? The yield an investor obtains has increased slightly, but not the need to make choices as to how to calculate yields, which was my intended point.

Nope, thats all I saw. Otherwise your math stands.

Although I'll note that you calculate APY for the 183 day scenario (at 5.30%), yet the 5.26% 182-day scenario is APR (thats what the treasury advertises, as we know). So that seems like a little bit of an apples-to-oranges comparison.

The 182-day yield is 5.33%. Which is a little higher, as it should be. So it seems YIELDDISC is really calculating rate.

FYI, I think I would prefer the 'actual/actual' Excel calculation, as that probably takes into account leap years - I assume in the financial world yields are slightly adjusted on leap years, yes? Or no, is that ignored?

For Wendy, here's the calculation for treasuries (and any other bond, I think):

Return/Price => actual return (lets say 1.025 for our example)

To annualize on an APR basis, take the fraction part (i.e. subtract 1) to get 0.025 and multiply by days-in-year/days-for-bond.

In the case of 365/182, times 0.025, would be 0.0501... or 5.01%

To annualize on an APY basis, take the full return above (1.025) and raise it to the power of days-in-year/days-for-bond.

So, 1.025 ^ (365/182) = 1.0508... or 5.08%

I made a mistake that shouldn't have been made, but it amounts to a bug, rather than a fatal flaw to the program. I make a ton of mistakes: always have, always will. But, hopefully, I get enough of the big stuff right. :-/

Yeah, we're talking about just a few 'beeps' here and there.

That is serious money for short-term, high quality paper. If the market is demanding that kind of return, they're worried, and so should you be.

Hey Charlie, care to explain? And if I should be worried, what should I do about it? My only real fixed income is for short term < 1 year things, so I'm specifically interested in that.
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