About vs. Demo: This demo folder now uses a standardized launch page. Start with About Demo, then choose the run mode that fits your class.

Quant Finance • Browser • 20-30 min

Bond Pricing

A bond's price is the **present value** of all future cash flows discounted at the yield to maturity.

Open About Demo Read README View Course Path

Calculate bond prices, yield to maturity, and duration using present value of future cash flows.

Bond Parameters

Market Parameters

Bond Valuation Results

Bond Price

$1000.00

Yield (YTM)

5.0%

Duration

7.2 yrs

Par/Yield

At Par

Theory

  • Bond Price: PV of coupons + PV of face value
  • Duration: Weighted average time to cash flows
  • Convexity: Second-order sensitivity measure
  • Par Bond: Price = Face when Coupon = YTM

Formula: P = Σ C/(1+y)^t + F/(1+y)^T

Standard demo guide

Use this demo in a logical learning sequence

Starts immediately in browser with no installs, no API keys, and classroom-safe defaults.

What this demo is about

A bond's price is the **present value** of all future cash flows discounted at the yield to maturity.

Learning objectives

  • Explain the main quant decision that Bond Pricing is designed to support.
  • Change input assumptions and predict how the output should respond before running the demo.
  • Interpret the result in plain language, not just as a number, chart, or AI recommendation.

Run mode and expectations

  • Supported modes: Browser
  • Starts immediately in browser with no installs, no API keys, and classroom-safe defaults.

Step 1: Inputs

  • Start with the default assumptions, then change one variable at a time so students can isolate cause and effect.
  • Treat each input as a lever that changes the scenario, baseline, or business context behind the result.

Step 2: Decision buttons

  • Use the main run or simulate action to compute the scenario after inputs are set.
  • Use export or reset actions, when present, to compare runs or return to a classroom-safe baseline.

Step 3: Outputs and what to notice

  • Read the top-line result first, then look for supporting metrics, tables, or narratives that explain why it changed.
  • Students should explain whether the output is descriptive, predictive, simulated, or recommended.
  • Look for coupon, maturity, yield, and present-value calculation
  • Observe how price moves when market yield rises or falls

Available run modes

  • Browser: available for this demo.

How to proceed

  1. Choose the run mode that fits the class: Browser.
  2. Review the default assumptions before changing anything.
  3. Change one or two inputs, then use `Run the main action`.
  4. Read the output first, then compare any supporting metrics, charts, or AI text.
  5. Capture one insight, one limitation, and one action recommendation.