basis point

American

noun

Finance.

one hundredth of one percent, as of interest rates, or investment yields.

basis point British

noun

a measure used for describing interest rates, equal to one hundredth of a percentage point (0.01%)

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Etymology

Origin of basis point

First recorded in 1965–70

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

Its guidance for an 80 to 100 basis point improvement in margins this year came in slightly ahead of expectations.

From MarketWatch

“If you look at the size and scale of just something as simple as FX, just 0.25 basis point with our size and scale, just gives us a revenue outcome that other people don’t have,” he said.

From MarketWatch

Ten-year gilt yields fall 1 basis point to last trade at 4.339%, Tradeweb data show.

From The Wall Street Journal

Elevated legal expenses are projected to be a 200 basis point headwind to Zillow’s Q1 adjusted Ebitda margin and 100 basis points for the full year.

From Barron's

The company expects “ongoing elevated legal expenses” will represent a roughly 200 basis point headwind to its adjusted earnings before interest, taxes, depreciation, and amortization, or Ebitda, margin in the first quarter.

From Barron's

Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023