coupon payments are always for the same amount. It also ensures that all days in a coupon period are valued equally. However, the coupon periods themselves may be of different lengths; in the case of semi-annual payment on a 365-day year, one period can be 182 days and the other 183 days. In that case, all the days in one period will be valued 1/182nd of the payment amount and all the days in the other period will be valued 1/183rd of the payment amount. This is the convention used for US Treasury bonds and notes, among other securities. Other names: Actual/Actual Act/Act ICMA ISMA-99 Act/Act ISMA Sources: ICMA Rule 251.1(iii). ISDA 2006 Section 4.16(c). Actual/Actual comparison, EMU and Market Conventions: Recent Developments. Actual/Actual ISDA Formulas: This convention accounts for days in the period based on the portion in a leap year and the portion in a non-leap year. The days in the numerators are calculated on a Julian day difference basis. In this convention the first day of the period is included and the last day is excluded. The CouponFactor uses the same formula, replacing Date2 by Date3. In general, coupon payments will vary from period to period, due to the differing number of days in the periods. The formula applies to both regular and irregular coupon periods. Other names are: Actual/Actual Act/Act Actual/365 Act/365 Sources: ISDA 2006 Section 4.16(b). Actual/365 Fixed Formulas: Each month is treated normally and the year is assumed to be 365 days. For example, in a period from February 1, 2005 to April 1, 2005, the Factor is considered to be 59 days divided by 365. The CouponFactor uses the same formula, replacing Date2 by Date3. In general, coupon payments will vary from period to period, due to the differing number of days in the periods. The formula applies to both regular and irregular coupon periods. Other names: Act/365 Fixed A/365 Fixed A/365F English Sources: ISDA 2006 Section 4.16(d). Actual/360 Formulas: This convention is used in money markets for short-term lending of currencies, including the US dollar and Euro, and is applied in ESCB monetary policy operations. It is the convention used with Repurchase agreements. Each month is treated normally and the year is assumed to be 360 days. For example, in a period from February 1, 2005 to April 1, 2005, the Factor is 60 days divided by 360 days. The CouponFactor uses