Question: Please answer each question with at least 2 paragraphs Why does a full carry model apply so well to the US Treasury bond and S&P

Please answer each question with at least 2 paragraphs

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

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