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Financial encyclopediaReviewed 2026-10-23

Basis Point

One one-hundredth (.01) of a percentage point. For example, eight percent is equal to 800 basis points.

Sources and references ↗
PROFILE / FACT FILE

Concept at a glance

Term
Basis Point [1]
Subject area
Investor.gov glossary [1]
Jurisdiction / scope
US regulatory and investor-education context [1]
Primary reference
SEC · Investor.gov [1]

Definition and explanation

One one-hundredth (.01) of a percentage point. For example, eight percent is equal to 800 basis points. [1]

Frequently asked questions

What does Basis Point mean in the cited reference?

One one-hundredth (.01) of a percentage point. For example, eight percent is equal to 800 basis points. [1]

Sources and review dates

  1. US SEC · Investor.gov — Basis Point ↗

Reviewed 23 October 2026. Historical dates and award-time affiliations retain their original context. A review date is not an event date. Background sources are identified separately from official records.

Content preparation: source-based compilation with AI assistance. See methods and attribution. Named sources identify the underlying records; no individual expert review is claimed.