Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. please answer each question with at least 2 paragr

Please answer each question with at least 2 paragraphs Why does a full carry...

60.1K

Verified Solution

Question

Finance

Please answer each question with at least 2 paragraphsimage

Why does a full carry model apply so well to the US Treasury bond and S&P 500 futures contracts? What modifications do we have to make to the carry model to value US treasury bond futures? What modification do we have to make to the carry model to value S&P 500 futures contract? Why? We moved from a relatively complicated minimum variance hedge ratio (MVHR) to a much simpler dollar offset ratio (DOR). Can you explain the logic of this movement from MVHR to DOR

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students