I'm interested in using the YIELD() function in Excel to compute the yield of an Italian government bond. The bond in question is:
Italian government bonds have special pricing conventions. According to http://help.derivativepricing.com/1311.htm, yields are calculated using annual compounding even though coupons are semi-annual.
According to http://help.derivativepricing.com/1298.htm, the final period yield method is "compound yield".
If we price the bond at 100 and settle the bond on 12-January-2018 (a few days before the maturity date), is it possible to hack the YIELD() function in Excel to solve for a yield of 0.746739%, as in the second screen print below?