Main Content

cdai

Accrued interest on certificate of deposit

collapse all in page

Syntax

AccrInt = cdai(CouponRate,Settle,Maturity,IssueDate)
AccrInt = cdai(___,Basis)

Description

AccrInt = cdai(CouponRate,Settle,Maturity,IssueDate) computes the accrued interest on a certificate of deposit.

cdai assumes that the certificates of deposit pay interest at maturity. Because of the simple interest treatment of these securities, this function is best used for short-term maturities (less than 1 year). The default simple interest calculation uses the Basis for the actual/360 convention (2).

example

AccrInt = cdai(___,Basis) adds an optional argument for Basis.

example

Examples

collapse all

Open Live Script

This example shows how to compute the accrued interest due, given a certificate of deposit with the following characteristics.

CouponRate      =  0.05;
Settle          =  '02-Jan-02';
Maturity        =  '31-Mar-02';
IssueDate       =  '1-Oct-01';

AccrInt = cdai(CouponRate, Settle, Maturity, IssueDate)
AccrInt = 
1.2917
Open Live Script

This example shows how to use datetime inputs to compute the accrued interest due, given a certificate of deposit with the following characteristics. 

CouponRate =  0.05;
Settle =  datetime('02-Jan-02','Locale','en_US');
Maturity =  datetime('31-Mar-02','Locale','en_US');
IssueDate =  datetime('1-Oct-01','Locale','en_US');
AccrInt = cdai(CouponRate, Settle, Maturity, IssueDate)
AccrInt = 
1.2917

Input Arguments

collapse all

Annual interest rate, specified as decimal using a scalar or a NCDS-by-1 or 1-by-NCDS vector.

Data Types: double

Settlement date for the certificate of deposit, specified as a scalar or a NCDS-by-1 or 1-by-NCDS vector using a datetime array, string array, or date character vectors. The Settle date must be before the Maturity date.

To support existing code, cdai also accepts serial date numbers as inputs, but they are not recommended.

Data Types: char | string | datetime

Maturity date for the certificate of deposit, specified as a scalar or a NCDS-by-1 or 1-by-NCDS vector using a datetime array, string array, or date character vectors.

To support existing code, cdai also accepts serial date numbers as inputs, but they are not recommended.

Data Types: char | string | datetime

Issue date for the certificate of deposit, specified as a scalar or a NCDS-by-1 or 1-by-NCDS vector using a datetime array, string array, or date character vectors.

To support existing code, cdai also accepts serial date numbers as inputs, but they are not recommended.

Data Types: char | string | datetime

(Optional) Day-count basis for the certificate of deposit, specified as a scalar or a NINST-by-1 vector. Values are:

  • 0 = actual/actual

  • 1 = 30/360 (SIA)

  • 2 = actual/360

  • 3 = actual/365

  • 4 = 30/360 (PSA)

  • 5 = 30/360 (ISDA)

  • 6 = 30/360 (European)

  • 7 = actual/365 (Japanese)

  • 8 = actual/actual (ICMA)

  • 9 = actual/360 (ICMA)

  • 10 = actual/365 (ICMA)

  • 11 = 30/360E (ICMA)

  • 12 = actual/365 (ISDA)

  • 13 = BUS/252

For more information, see Basis.

Data Types: double

Output Arguments

collapse all

Accrued interest per $100 of face value, returned as a NCDS-by-1 or 1-by-NCDS vector.

Version History

Introduced before R2006a

expand all

See Also

| | (Financial Instruments Toolbox) | | | | (Financial Instruments Toolbox) |

Topics