price of a security, sometimes referred to as the security's basis or its yield price, expressed in terms of the yield to be realized by the purchaser. Compare: DOLLAR PRICE.
Price quotation for a security expressed in terms of yield to maturity. This will usually only be quoted on fixed-income securities such as bonds. For example, if a bond price was quoted as 10 percent and this was also the yield to maturity, then the 10 percent would be the basis price.
The basis price is a way of quoting and trading bonds, and is another term for yield to maturity. In contrast, bonds that are traded and quoted in dollar prices, are often referred to as dollar bonds.