Clean price
In
finance, the clean price is the
price of a
bond excluding any
interest that has
accrued since issue or the most recent coupon payment. This is to be compared with the
dirty price, which is the price of a bond including the accrued interest.When bond prices are quoted on a
Bloomberg Terminal or
Reuters they are quoted using the clean price. Given the quotes, traders tend to think of bonds in terms of their clean prices.Clean prices are more stable over time than dirty prices – when clean prices change, it is for an economic reason, for instance a change in interest rates or in the bond issuer's credit quality.
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Clean price
Flat price (also clean price)
The quoted newspaper price of a
bond that does not include accrued
interest. The price paid by purchaser is the
full price.
clean price
The transaction price excluding any rebate/accrued interest, but including any transaction costs that form part of the price.
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European Central Bank, Frankfurt am Main, Germany. This information may be obtained free of charge through the
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