This all-in-one online Basis Point Calculator converts between decimal values, percents, permilles, and basis points (BPS). You can enter the value of any known parameter in the respective input field of this calculator and find the values of the missing parameters.
What Are Basis Points
Basis points (BPS) refers to a common unit of measure for interest rates and other percentages in finance.
A basis point is one hundredth of a percentage point (that is, 1 basis point = 0.01% or 0.0001) and usually denoted as ‱, “bp”, “bps”, or “bips”.
Basis point is used to indicate changes in interest rates on financial instruments to resolve ambiguity. For example, the rate was 10% and it is announced that it has been increased by 1 percentage point. This means that the new value will be 10% + 1% = 11%. But you can understand that the increase was 1% from the previous value: 10 × (100 + 1) / 100 = 10.1%. Therefore, the change in the interest rate is indicated in basis points. An announcement of a rate increase of 50 basis points for our example would mean 10% + 0.01% × 50 = 10.50%.
It is worth remembering a few basic values expressed in basis points:
• 1 BPS = 0,01%
• 10 BPS = 0,1%
• 100 BPS = 1%
• 1000 BPS = 10%
• 10 000 BPS = 100%
In more general cases, it is much more convenient to use our Basis Point Calculator.
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