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  1. VanBuren77

    What's the difference between "Group", "Deal", "Tranche" and "Bucket" in structured finance?

    What's the difference between "Group", "Deal", "Tranche" and "Bucket" in structured finance?
  2. VanBuren77

    Discord Server

    Does Bionic Turtle have an official Discord server? If not, could we start one? It's a great platform and I would be very interested and engaged if I were able to conduct weekly study sessions over voice/video share Thanks
  3. VanBuren77

    Full Price & Accrued Interest

    Is the reason that the dirty price on the settlement date is greater than the dirty price on the current date due to the pull to par effect?
  4. VanBuren77

    Bond Pricing Formula

    Hi - I am a bit stumped on the algebra to go from this general sum of the bond pricing formula: P(C,y,N,m) = P = $\sum_{i=1}^{N} (C/m)(1+y/m)^i + 1/(1+y/m)^N$ To: C/y(1-1/(1+y/m)^N) + 1/(1+y/m)^N Why does the sum become a "1 - "? And if someone can help me figure out how to write latex...
  5. VanBuren77

    Interest Rate Forward vs Spot Interest Rate

    Seeing this listed as P[F(0, 10, 1)] makes me realize I'm not thinking of this clearly. Thanks, big help I think a more simple framework is to think of forward rates as P[F(10, 1)] and keep it in this context
  6. VanBuren77

    Interest Rate Forward vs Spot Interest Rate

    @David Harper CFA FRM thanks. Rethinking this problem, let me rephrase it into something much more simple. Let's assume: P(10) > P(F(10,1)) Under this assumption, the forward rate curve is upwards sloping. Why wouldn't the market buy the forward rate contract and offset the additional yield?
  7. VanBuren77

    Interest Rate Forward vs Spot Interest Rate

    Hi @lushukai - Thanks for getting back to me. "Are you asking how well the forward rates predict the actual rate later?" No, I am not. Like I said above, today's forward rates are poor predictors of realized forward rates. "I don't quite understand what you mean by "rally" in rates." When...
  8. VanBuren77

    Interest Rate Forward vs Spot Interest Rate

    Hi - New to the forum, so not entirely certain of the format here. I have a question: Forward interest rates are indicative of the market's expectation. They are weak predictors of the future, but they tell us an idea of how the market feels about interest rates in the future. If I have a 10...
  9. VanBuren77

    OAS v/s Z spread

    In this scenario, both the Z-Spread and the OAS should increase. They'll only differ once the interest rate volatility changes. Think of it this way: 1. The Z-Spread is a single forward interest rate path in which cashflows are projected 2. The OAS is an average of 250+ forward interest rate...
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