# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Basis Point

What is a Basis Point?

A basis point is one-one hundredth of a percentage point. In other words, 0.01% is 1 basis point. One hundred basis points is 1%.

Basis points help easily explain tiny percentage changes. For instance, if the Federal Reserve lowered interest rates by a quarter of a percent, you could express that as 25 basis points.

Sponsors Center
Sponsored Links