Re: Fixed rate bond

Posted by Piter Dias-4 on
URL: http://quantlib.414.s1.nabble.com/Fixed-rate-bond-tp8450p8454.html

Dagur,

 

See below a code that may help you. “Period(Once)” is what you look for.

 

Regards,

 

 

#include "stdafx.h"

 

#include <ql/quantlib.hpp>

#include <iostream>

 

using namespace QuantLib;

using namespace std;

 

int _tmain(int argc, _TCHAR* argv[])

{

 

 

  Date issueDate(Date(15,  Oct, 2011)), maturityDate(Date(15, Oct, 2016));

 

  Rate rate(0.10);

 

  DayCounter dayCounter = Thirty360(Thirty360::European);

 

  Schedule *schedule = new Schedule(issueDate,

                              maturityDate,

                              Period(Once),

                              Iceland(),

                              Unadjusted,

                              Unadjusted,

                              DateGeneration::Backward,

                              false);

 

          InterestRate coupon(0.06,

                           dayCounter,

                           Simple, Annual);

 

  FixedRateBond* bond = new FixedRateBond(0,

                                   100.0,

                                   *schedule,

                                   vector<InterestRate>(1, coupon),

                                   Unadjusted,

                                  Real(100.0),

                                   issueDate);

  

  for (unsigned i = 0; i < bond->cashflows().size(); i++) {

    cout<<"day["<<i<<"] is "<<bond->cashflows()[i]->date()<<" "<<setprecision(15)

       <<dayCounter.yearFraction(Date(1, Jun, 2011), bond->cashflows()[i]->date())<<", cashflow["<<i<<"] is "<<bond->cashflows()[i]->amount()<<endl;

    }

 

       return 0;

}

 

 

 

 

 

From: Dagur Gunnarsson [mailto:[hidden email]]
Sent: 14 January 2012 16:29
To: Luigi Ballabio
Cc: [hidden email]
Subject: Re: [Quantlib-users] Fixed rate bond

 

Hello,

The rate is accrued over the whole period, so in at the maturity date the bond pays a coupon for the whole livetime of the bond, and the principal.

regards
Dagur G

On Tue, Jan 10, 2012 at 8:17 AM, Luigi Ballabio <[hidden email]> wrote:

On Mon, Jan 9, 2012 at 11:59 PM, StephenWong <[hidden email]> wrote:
> Dagur Gunnarsson-2 wrote:
>> Is there a simple way to simulate a bond(fixed rate) that pays a single
>> coupon on the maturity day as well as the principal
>

> Looks like you can do this with a combination of a fixed rate bond with
> regular coupon (at least once a year), then subtract that with a series of
> fixed rate bonds with the same coupon but shorter duration + a series of
> zero coupon bonds with the same maturities as the series of fixed rate bonds
> except the original bond. The combination would be what you want.

Or you could just use a fixed rate bond with all coupons except the
last paying a null rate, or you can create a schedule with null
frequency.  It depends on how the final payment accrues. Is the rate
accrued over the whole duration of the bond, or just a subperiod?

Luigi

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