Zero Coupon Bond Yield Calculator

Calculate the effective annual yield or yield to maturity (YTM) of a Zero Coupon Bond. A Zero Coupon Bond / Deep Discount Bond is a bond that does not pay periodic coupon or interest. These bonds are issued at a discount to their face value and therefore the difference between the face value of the bond and its issue price represents the interest yield of the bond.

Note: The yield calculated is essentially Excel's XIRR equivalent annualized yield. For periods less than one year, Money Market Yield is returned. Use our Bond YTM Calculator for coupon paying bonds.