Determining a bond’s last coupon date is a critical element in calculating its value and return. Last coupon date refers to the date on which the most recent interest payment or coupon payment was made to bondholders.
Last coupon date plays a significant role in bond trading and investment decisions. It helps investors determine the accrued interest earned since the last payment and calculate the bond’s yield to maturity (YTM). Historically, the implementation of electronic bond trading systems in the 1990s facilitated accurate and efficient last coupon date tracking.