Financial & Tax Calculators
Grounded in the latest Indian tax slabs, inflation averages, and compound interest math.
Bond Yield to Maturity (YTM) & Pricing Calculator
Compute the true internal rate of return (YTM) and current yield on Indian Government Securities (G-Secs), State Development Loans (SDLs), and Corporate Bonds. Test how RBI repo rate shifts affect secondary market prices.
Bond ParametersLive Solved
Standard Indian G-Sec face value is ₹100; Corporate NCDs are often ₹1,000.
Fixed contractual rate paid on nominal face value (e.g. 7.63%).
Total Cash Outlay is the actual rupee amount you pay out-of-pocket to purchase bonds in the secondary market today.
Why does Outlay differ from Face Value?
Bonds fluctuate above or below ₹100 face value. If you buy at a discount (e.g. ₹97.20), your cash outlay is ₹99,922, but the government redeems at the full nominal face value of ₹1,02,800, netting you an extra ₹2,878 capital profit upon maturity!
True annualized IRR factoring semi-annual coupons + par capital redemption.
Annual cash flow return on the actual purchase price (₹7.63 / ₹97.20).
Fixed nominal rate printed on bond. Never changes over 30 years.
You are buying this bond at ₹97.20, which is ₹2.80 below face value. At maturity, the government redeems at full ₹100.00 par. That discount delivers an extra capital gain of +2.88%, which is why YTM (7.87%) > Current Yield (7.85%) > Coupon Rate (7.63%).
Cash Flow Projection for ₹1,00,000 Budget
Interest Rate Seesaw (Duration Sensitivity)
How this 30-year bond's market price moves if RBI/market yields change
| Yield Shift | Market Yield | Bond Price (₹) | Price Change | Portfolio Impact (₹1,00,000) |
|---|---|---|---|---|
| -100 bps | 6.87% | ₹109.54 | +12.70% | +₹12,687 |
| -50 bps | 7.37% | ₹103.07 | +6.04% | +₹6,033 |
| -25 bps | 7.62% | ₹100.06 | +2.95% | +₹2,944 |
| Current Baseline | 7.87% | ₹97.20 | — | ₹99,922 |
| +25 bps | 8.12% | ₹94.47 | -2.81% | -₹2,806 |
| +50 bps | 8.37% | ₹91.87 | -5.49% | -₹5,482 |
| +100 bps | 8.87% | ₹87.01 | -10.48% | -₹10,473 |
💡 Key Takeaway: If you hold this bond until its 30-year maturity, these mark-to-market secondary price swings do NOT impact your returns. You receive 100% of your coupons and full ₹100 face value redemption.
Coupon Rate vs. Current Yield vs. YTM: The Complete Guide
Why do financial media and the RBI quote YTM instead of coupon rates? Read our comprehensive blog breakdown with worked 5-year G-Sec scenarios, discount mechanics, and reinvestment assumptions.
Bond Fundamentals, G-Secs, T-Bills & RBI Retail Direct
Step-by-step masterclass on how to bid non-competitively for T-Bills and G-Secs with zero commission fees directly on the Reserve Bank of India’s Retail Direct platform.