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The Excel COUPPCD Function
Basic Description
The Excel COUPPCD function returns the previous coupon date, before the settlement date for a security.
The syntax of the function is :
COUPPCD( settlement, maturity, frequency, [basis] )
Where the arguments are as follows:
| settlement |
- |
The settlement date of the security
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| maturity |
- |
The date of maturity of the security
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| frequency |
- |
An integer, representing the number of coupon payments per year. This must have the value 1, 2, or 4, meaning:
| 1 | - | Annually |
| 2 | - | Semi-Annually |
| 4 | - | Quarterly |
|
| [basis] |
- |
An optional integer argument that specifies the day count basis to be used.
This must be one of the following values:
| Basis |
Day Count Basis |
| 0 (or omitted) |
US (NASD) 30/360 |
| 1 |
actual/actual |
| 2 |
actual/360 |
| 3 |
actual/365 |
| 4 |
European 30/360 |
The financial day count basis rules are explained on the
Wikipedia Day Count Convention page
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Note that, when supplying dates to Excel functions, these should be input as either:
- References to cells containing dates
or
- Dates returned from formulas
Warning:
| - |
If you attempt to input dates as text, these may be interpreted differently,
depending on the date system and date interpretation settings on your computer. |
| - |
Whilst you can input dates as serial numbers, this is not advised, as the serial numbers used
to represent dates, vary across different computer systems. |
Excel Couppcd Function Example
In the spreadsheet below the Excel Couppcd function is used to calculate the coupon date before the settlement
date, for a security with settlement date 01-Jan-2011, maturity date 25-Oct-2012, and four coupon payments per year.
The security uses the US (NASD) 30/360 day count basis.
The spreadsheet on the left shows the syntax of the function and the spreadsheet on the right shows the result.
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Formula:
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A |
| 1 |
01-Jan-2011 |
| 2 |
25-Oct-2012 |
| 3 |
=COUPPCD( A1, A2, 4 ) |
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Result:
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A |
| 1 |
01-Jan-2011 |
| 2 |
25-Oct-2012 |
| 3 |
25-Oct-2010 |
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Note that, in this example :
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As recommended by Microsoft, the settlement and maturity arguments have been input as references to cells containing dates.
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As the [basis] argument has been omitted, the function uses the default value 0 (denoting the US (NADS)
30/360 day count basis).
Further information on the Excel Couppcd function can be found on the
Microsoft Office website.
Couppcd Function Errors
If you get an error from the Excel Couppcd Function, this is most likely to be one of the following:
Common Errors
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#VALUE!
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-
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Occurs if any of the supplied arguments are non-numeric
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#NUM!
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-
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Occurs if either:
| - | the supplied settlement date is ≥ maturity date |
| or | |
| - | the supplied frequency argument is any number other than 1, 2 or 4 |
| or | |
| - | the supplied [basis] argument is any number other than 0, 1, 2, 3 or 4 |
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#NAME?
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-
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Occurs when Analysis ToolPak add-in is not enabled in your Excel.
You will need to enable the add-in if you want to use the Excel Couppcd function.
To do this in Excel 2003 :
- From the Tools drop-down menu, select the option Add-Ins ...
- An 'Add-Ins' window will pop up. From this, select the option Analysis ToolPak and click OK
To do this in Excel 2007 or Excel 2010 :
- Click the Microsoft button on the top left of your spreadsheet and select
the Excel Options button
- From the menu on the left hand side, select Add-Ins
- In the 'Manage:' box, select Excel Add-ins and click Go...
- An 'Add-Ins' window will pop up. From this, select the option Analysis ToolPak
and click OK
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