Business Vocabulary
Q1
A widely used approach for calculating hedge ratios for Treasury futures contracts assumes that the contract will be settled with the currently cheapest-to-deliver note or bond; with that single-deliverable assumption, the futures' PVBP (price value of a ..... point) is the converted, forward PVBP of $100,000 par of the cheapest to deliver.
(*) basal
(*) base
(*) basic
(*) basis
