This is going to be the simplest of the simple bond for calculations of coupon and final payments
Lets assume the following bond details
- Face value (par value): $ 600,000,000 (Assuming Canadian Dollars)
- Coupon rate: 5% of par (semi-annual payments)
- Maturity: 5 years from the issue date
- Payment frequency: Semi-annual (every 6 months)
- Day count convention: Actual/365
- Business day adjustment: If a payment date falls on a holiday or weekend, adjust it to the next business day.
- Bond issue date: Today (2024-11-08)
Lets take the following steps
- Calculate each coupon payment date, starting from the issue date.
- For each coupon period, calculate the payment date, adjusting for any holidays/weekends.
- Coupon payments: 5% of par, paid semi-annually.
- Final payment: Face value + last coupon at maturity.
https://github.com/simulationcoder/Visualize/blob/main/corporateBond.py