# MDURATION(SettlementDate, MaturityDate, Coupon, Yield, Frequency, Basis)

• Where is the security's settlement date (a date when coupon or a bond is purchased),
• is the security's maturity date (a date when coupon or a bond expires),
• is the security's annual coupon rate,
• is the security's annual yield,
• is the number of coupon payments per year, and
• is the type of day count basis to use.

MDURATION() gives the modified Macauley duration of a security for an assumed par value of \$100.

## Description

MDURATION(SettlementDate, MaturityDate, Coupon, Yield, Frequency, Basis)

• MDURATION() or modified duration calculates the percentage derivative of price with respect to yield.
• Formula: • and dates should be entered either in 'date format' or 'dates returned using formulas'. If dates are not valid, Calci displays #N/A error message.
• If date ≥ date, Calci displays #N/A error message.
• and values must be greater than or equal to zero.
• The values for should be 1,2 or 4.

For Annual payment, frequency = 1,

For Semi-annual payment, frequency = 2,

For Quarterly payment, frequency = 4.

• value is optional. If omitted, Calci assumes it to be 0.

Below table shows the use of values:

Basis Description
0 US (NASD) 30/360
1 Actual/actual
2 Actual/360
3 Actual/365
4 European 30/360
• If value is other than 0 to 4, Calci displays #N/A error message.

## Examples

Consider the following example that shows the use of MDURATION function:

 September 10, 2010 September 10, 2014 6% 9.0% 2 1
=MDURATION(A1,A2,A3,A4,A5,A6) displays 3.8035273385670787 as a result.
=MDURATION(DATE(2013,6,1),DATE(2013,12,31),"8%","9%",1,1) displays 0.9174311926605504 as a result.