Book: And now we shall move on to... BASIS POINTS.
A Magical Basis Point on a bond is equal to 1/100th of a point, WHICH AS YOULL RECALL IS TEN DOLLARS.
Are you following this mysterious logic?!
IT CAN ALSO BE 0.01% (also known as 0.0001) of the $1,000 par value of a bond!
Me: so it's ten cents
9 months ago