What Is a Basis Point? Meaning, Calculation, and Uses

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2026-09-21 09:52:53 -

What Is a Basis Point? Meaning, Calculation, and Uses

Basis point is a measurement of very slight interest rate, yield, or financial percentage changes. If you're curious about what is a basis point, one basis point would be equal to 0.01%, or 1% divided by 100. Basis points are generally abbreviated as bp, bps or bips in financial markets. In financial contexts, a basis point (bbp) is a unit of measurement that represents one hundredth of one...

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