Financial Formulas

Rule of 69.3: Accurate Doubling Time Estimation for Continuous Compounding
The Rule of 69.3 is a financial formula that uses the precise natural logarithm of 2 to provide a more accurate method for estimating the doubling time of an investment under continuous compounding.
Current Yield: Definition, Formula, and Calculation Guide
Comprehensive overview of current yield, including its definition, formula, methods of calculation, and practical examples. Learn how current yield is used in investing and finance.
Excess Returns: Meaning, Risk, and Formulas for Calculating
A detailed exploration of excess returns, including their meaning, associated risks, and the formulas used for calculation. Understand excess returns in the context of investment performance and benchmarking.
Interest Rate Parity (IRP): Definition, Formula, and Practical Examples
A comprehensive guide to Interest Rate Parity (IRP), including its definition, formula, practical examples, historical context, and applicability in the financial world.
The Lehman Formula: Definition, Application, and Calculation Examples
A comprehensive guide to understanding the Lehman Formula, its historical context, application in finance, step-by-step calculation examples, and its significance in investment banking.

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