5.6

Dollar-Duration-Neutral Butterfly

PYTHON PLUGIN Fixed Income Relative Value

Description

Strategy 5.6: Dollar-duration-neutral butterfly (long wings, short body)

Strategy Logic

Strategy 5.6: Dollar-Duration-Neutral Butterfly. Long the wings (short-term and long-term bonds), short the body (intermediate bond). Weights are set so that the dollar-duration of the portfolio is zero. Expects exactly 3 symbols ordered: [short, middle, long].

Risk Configuration

Risk Parameter Value
Max Position Pct 15.0%
Stop Loss Pct 2.0%
Take Profit Pct 4.0%
Max Drawdown Pct 6.0%