Appendix 4. Glossary
- 30/360
(Or 360/360). A day/year count convention assuming 30 days in each calendar month and a “year” of 360 days; sometimes adjusted for certain periods ending on 31st day of the month or the last day of February.
- 360/360
Same as 30/360.
- accreting
An accreting principal is one which increases during the life of the deal. See amortising, bullet.
- accrued interest
The proportion of interest or coupon earned on an investment from the previous coupon payment date until the value date.
- accumulated value
Same as future value.
- ACT/360
A day/year count convention taking the number of calendar days in a period and a “year” of 360 days.
- ACT/365
(Or ACT/365 fixed). A day/year count convention taking the number of calendar days in a period and a “year” ...
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