Current yield = (Annual coupon payment ÷ Current market price) × 100. For a ₹1,000 face-value bond with 8% coupon trading at ₹950, annual coupon is ₹80 and current yield ≈ 8.42%. It ignores capital gain or loss at maturity.

YTM is the internal rate of return if you buy the bond today, receive all coupons, and redeem at par on maturity. It equates the present value of future cash flows to the current price. This calculator uses annual coupons and bisection to solve YTM.

A discount bond (price below par) delivers coupons plus a capital gain at maturity. YTM captures both, so it exceeds the coupon rate. Premium bonds (price above par) typically have YTM below the coupon.

Interest on bonds is generally taxable per your income slab. Listed bond capital gains may qualify for concessional rates depending on holding period and bond type. Tax treatment varies — verify with a CA or the bond offer document.

Government securities (G-Sec), State Development Loans (SDL), and RBI Retail Direct offerings differ in issuer, liquidity and tenure. YTM helps compare them on a total-return basis, but credit risk and liquidity differ.

Enter coupon rate 0%. Current yield will be 0%; YTM still reflects the discount to par at maturity.

Indian retail calculators often assume annual coupons for simplicity. Many corporate bonds pay semi-annual interest; actual YTM may differ slightly when coupons are more frequent.

Duration measures price sensitivity to interest-rate changes. Longer maturity and lower coupon mean higher duration. YTM assumes you hold to maturity — selling early exposes you to market price risk.

Enter purchase price, coupon (or expected coupon), face value and years to maturity. For floating-rate bonds, YTM is only as good as your assumed future coupon path — treat output as illustrative.

Current yield ignores capital gain/loss to maturity and reinvestment. Prefer YTM (and credit risk) when comparing bonds bought above or below par. This tool does not rate issuer default risk.