Clean Price
A bond's quoted price excluding accrued interest.
Formula
Clean Price = Dirty Price - Accrued Interest
Unit
₹
In depth
Bond prices are quoted clean because the clean price moves smoothly with yields, while the dirty price rises steadily through each coupon period and drops on the coupon date — a sawtooth pattern that would obscure what is actually happening to the bond. Yield calculations and price charts therefore use the clean price. What the buyer actually pays is the dirty price, so the clean quote is a convention for comparison rather than an invoice. Confusing the two makes a settlement amount look wrong by up to a full coupon period's interest.
Worked example
A bond quoted at ₹950 clean with ₹16.04 of accrued interest settles at ₹966.04. The chart shows ₹950 and the bank account shows ₹966.04, and both are correct.
Illustrative figures, chosen so the arithmetic is easy to follow. Not a live price and not a valuation of any company.
Educational reference only
This entry explains what “Clean Price” means. It is not investment advice and not a recommendation to buy or sell any security. Any numbers above are illustrative, not live prices, and nothing here predicts price direction or rates a stock. Consider your own circumstances and consult a SEBI-registered investment adviser before acting.