tmval.nom_disc_from_eff_int

tmval.conversions.nom_disc_from_eff_int(i: float, new_m: float, old_t: float = None) → tmval.conversions.RateTemplate[source]

A nominal/effective interest/discount rate converter. Given an effective interest rate and unit of time, along with a desired compounding frequency, returns a nominal discount rate at the desired compounding frequency. If no unit of time (applicable to the effective interest rate) is provided, it is assumed to be 1, i.e., a 1-year period.

Parameters

  • i (float) – the effective interest rate.

  • new_m (float) – the desired compounding frequency.

  • old_t (float, optional) – the unit of time applicable to the effective interest rate, defaults to None.

Returns

a nominal discount rate, compounded new_m times per year.

Return type

RateTemplate