Explain the asymmetric effect on the variation margin and cash flow for the short and long in

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Explain the asymmetric effect on the variation margin and cash flow for the short and long in an interest-rate futures contract when interest rates change.

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Bond Markets Analysis and Strategies

ISBN: 978-0133796773

9th edition

Authors: Frank J.Fabozzi

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Question Posted: Aug 22, 2015 07:50 AM

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Explain the asymmetric effect on the variation margin and cash flow for the short and long in

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If interest rates rise the short position in futures will receive margin as the ...View the full answer

Bond Markets Analysis and Strategies

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