basis point

noun

: one hundredth of one percent (as in the yield of an investment)

Examples of basis point in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Today's sub-6% levels haven't been typical in recent years, and while the difference of a few basis points might feel small on paper, the long-term savings can be substantial, especially when stretched across a 30-year payoff timeline. Angelica Leicht, CBS News, 29 Dec. 2025 One basis point is equal to one one-hundredth of a percentage point. Darla Mercado, Cfp®, CNBC, 26 Dec. 2025 Margins collapsed 850 basis points, the analyst noted. Stephen Garner, Footwear News, 19 Dec. 2025 The company’s third-quarter results had gross margins down 300 basis points, which the company chalked up primarily to higher tariffs in North America. Kurt Badenhausen, Sportico.com, 18 Dec. 2025 See All Example Sentences for basis point

Word History

First Known Use

1962, in the meaning defined above

Time Traveler
The first known use of basis point was in 1962

Browse Nearby Words

Cite this Entry

“Basis point.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/basis%20point. Accessed 8 Jan. 2026.

Last Updated: - Updated example sentences
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!