Fixed Income

Ryan O’Connell, CFA, FRM discusses how to bootstrap spot rates from the par rate curve.

CORRECTION: @4:23 we should be using the 2 year spot rate of 4.04%, not the 2 year par rate of 4%.

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Chapters
0:00 – Par Curve Definition
1:11 – Bootstrap Spot Rates From Par Rates
6:06 – Bootstrapping Example in Excel

Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.C

Ryan O’Connell, CFA, FRM explains how to calculate Probability of Default (PD), Loss Given Default (LGD), and Expected Loss (EL) in Microsoft Excel.

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Chapters:
0:00 – Calculate Present Value of Risky Corporate Bond
0:57 – Calculate the Yield to Maturity (YTM) of the Risk Free Bond
3:12 – Calculate the Credit Spread
3:59 – Calculate Probability of Default (PD)
4:18 – Calculate Loss Given Default (LGD)
5:06 – Calculate Expected Loss (EL)

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM discusses how to calculate spot rates, forward rates, and discount factors.

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Chapters:
0:00 – Discount Factors and Spot Rates Defined
0:49 – Calculate Discount Factors Using Spot Rates
2:25 – Forward Rates Defined
3:31 – The Forward Rate Model Defined
3:54 – Calculate Forward Rates Using Spot Rates

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Example problems worked in this video come from:
CFA Level 2, Fixed Income
The Term Structure and Interest Rate Dynamics
by Thomas S.Y. Ho, PhD, Sang Bin Lee, PhD, and Stephen E.
Wilcox, PhD, CFA

Ryan O’Connell, CFA, FRM shows how to create a loan amortization table in Excel.

Chapters:
0:00 – Defining the Attributes of the Loan
1:33 – Creating a Loan Amortization Table in Excel
4:15 – Making Sense Out of the Loan Amortization Table

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💾 *Download Free Excel File Here:* https://ryanoconnellfinance.com/product/loan-amortization-table-template-in-excel/

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC

Ryan O’Connell, CFA, FRM explains Key Rate Duration & Key Rate Shifts in Microsoft Excel.

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Chapters:
0:00 – Annual Coupon Paying Bond
0:48 – The Spot Yield Curve
1:20 – Calculating Macaulay Duration
2:10 – Yield Curve Shifts
2:36 – Key Rate Duration Explained

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM explains the difference between the clean price and the dirty price of a bond.

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Chapters:
0:00 – Timeline Overview for the Sale of a Bond
0:56 – Calculate the Dirty Price of a Bond
3:36 – Calculate the Accrued Interest of a Bond
4:15 – Calculate the Clean Price of a Bond

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM uses Microsoft Excel to explain the spot curve and the forward curve.

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*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM shows how to calculate bond price and yield to maturity (YTM) for both annual and semi-annual bonds.

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Chapter:
0:00 – Calculate Bond Price with Formula
3:10 – Calculate Bond Price with Financial Calculator
3:48 – Bond Premiums
4:34 – Bond Discounts
5:21 – Calculate Semi-Annual Bond Price
7:17 – Calculate Bond Yield to Maturity

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM explains how to calculate bond spot rates and forward rates in bonds.

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Chapters:
0:00 – Intro
0:08 – Spot Rates & Forward Rates Explained
1:48 – Calculating Forward Rates Using Spot Rates

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.

Ryan O’Connell, CFA, FRM explains bond duration and bond convexity.

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💾 Download Free Excel File:
► Grab the file from this video here: https://ryanoconnellfinance.com/product/bond-duration-and-convexity-explainer-toolkit/

Chapters:
0:00 – Introduction to Bond Duration and Bond Convexity
0:14 – Bond Duration Definition
0:41 – Key Factors Affecting Duration
2:15 – Calculating Macaulay Duration in Excel
4:38 – Plotting Bond Prices based on Duration in Excel
6:11 – Why Bond Convexity is Important
6:43 – Graphing Bond Duration + Convexity
7:50 – Approximate Convexity Formula
8:29 – Change in Bond Price Formula

*Disclosure: This is not financial advice and should not be taken as such. The information contained in this video is an opinion. Some of the information could be wrong. This channel is owned and operated by Portfolio Constructs LLC. Some of the links above are affiliate links, meaning, at no additional cost to you, I will earn a commission if you click through and make a purchase.