| Basis Points |
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Information AboutBasis Points |
| CATEGORIES ABOUT BASIS POINT | |
| fixed income market | |
| SHOPPER'S DELIGHT | |
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100‱ is 1 Percentage Point , and 10,000 basis points is 100.00%. When comparing two Percentage values using basis points, a simple arithmetic difference is taken. For instance, the difference between 5.01% and 5.00% will be 1 basis point. Basis points are used among other things to measure changes in the Yield of a Bond or moves in the Money Market . The smallest possible change in the Exchange Rate between two currencies, which is often called a bip in financial jargon, is usually one basis point. The type of interest rate has to be specified (eg Bond yield, Zero-coupon yield, Act/360 money market rate, Act/365 money market rate, etc). RELATED UNITS
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