In finance, the dirty price is the price of a bond including any interest that has accrued since issue or the most recent coupon payment. This is to be compared with the clean price, which is the price of a bond excluding the accrued interest.
Dirty Price = Clean Price + Accrued Interest
When bond prices are quoted on a Bloomberg Terminal or Reuters they are quoted using the clean price. The clean price is mostly quoted in the US bond markets. Given the quotes, traders tend to think of bonds in terms of their clean prices. The dirty price is mostly quoted in the European bond markets.
Read more about Dirty Price: Bond Pricing, Example
Famous quotes containing the words dirty and/or price:
“The trouble with writing a book about yourself is that you can’t fool around. If you write about someone else, you can stretch the truth from here to Finland. If you write about yourself the slightest deviation makes you realize instantly that there may be honor among thieves, but you are just a dirty liar.”
—Groucho Marx (1895–1977)
“... we performers are monsters. We are a totally different, far-out race of people. I totally and completely admit, with no qualms at all, my egomania, my selfishness, coupled with a really magnificent voice.”
—Leontyne Price (b. 1927)