DURATION

Returns the Macaulay duration, i.e., the weighted average duration for maturity of cash flows from a bond of a security.

Syntax

DURATION(settlement; maturity; rate; yield; frequency; [basis])

settlement: Settlement (purchase) date of the bond. Eg., "2/1/2018"
maturity: Maturity (redemption) date of the bond. Eg., "4/12/2020"
rate: Interest rate of the bond (annual). Eg., 2.33
yield: Yield of the bond (annual). Eg., 50000
frequency: Number of interest payments per year (1, 2, or 4). Eg., 2
basis: Indicates the day count method to use. Defaults to 0 if omitted.

0 - US method (NASD), 12 months of 30 days each

1 - Exact number of days in months, exact number of days in year

2 - Exact number of days in month; year has 360 days

3 - Exact number of days in month; year has 365 days

4 - European method, 12 months of 30 days each

Examples

Formula	Result
=DURATION(A2;B2;C2;D2;E2;F2)	0.197242222
=DURATION(A3;B3;C3;D3;E3;F3)	0.161785205
=DURATION(A4;B4;C4;D4;E4;F4)	0.895898411

Get a hands-on experience of the function in the embedded range below.

Possible Errors

Errors	Meaning
#N/A!	The function could not find the value it was asked to look for. Commonly occurs in VLOOKUP and similar functions.
#NAME!	The function name is incorrect or invalid. The given defined name (if any) is invalid. There is a typo in the defined name used in the function. Double quotes are missing for text values in the function. Colon missing in a cell range reference.
#VALUE!	The given argument's data type is incorrect or invalid. For example, the function =DATE(A1:A3) will return a #VALUE error when a text value is present in the range.
#REF!	The given cell reference is incorrect or invalid. This error may occur when a cell/range has been deleted, moved, or pasted over.
#NUM!	The value of frequency is a number other than 1, 2, and 4. The value of basis is not between 0 and 4. The settlement date is after the maturity date.

Similar Functions

DURATION function - Zoho Sheet - Help Guide

DURATION