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What is a 'Bond Equivalent Yield  BEY'
A calculation for restating semiannual, quarterly, or monthly discountbond or note yields into an annual yield. For a fixed income security with a par value of $1000, the calculation is as follows:
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BREAKING DOWN 'Bond Equivalent Yield  BEY'
The BEY allows fixedincome securities whose payments are not annual to be compared with securities with annual yields. The BEY is the yield that is quoted in newspapers.
Alternatively, if the semiannual or quarterly yield to maturity of a bond is known, the APR calculation may be used.
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