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Definition of

Macaulay duration


measure of interest-rate risk in owning bonds a measure of a bond's sensitivity to changes in interest rates. It is calculated by dividing the present value of the cash flows received by the current market value of the bond.

Related definitions of "Macaulay duration"

Definitions of ’Macaulay duration’ and meaning of ’Macaulay duration’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’Macaulay duration’ and other financial terms with our online QFINANCE Financial Dictionary.

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