What is a discounting tenor?

A discounting tenor refers to the specific time period over which cash flows are discounted to determine their present value. In finance, it is often used in the context of bond pricing or valuing future cash flows, where the discounting tenor aligns with the timing of those cash flows. For instance, if cash flows are expected to occur in one year, the discounting tenor would be one year. It is essential for assessing the time value of money in various financial analyses.