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barbell-portfolio

  1. Nicole Seaman

    YouTube T4-40: Fixed Income: Bullet versus Barbell Bond Portfolio

    The bullet portfolio invests in a single medium-term bond. The corresponding barbell portfolio invests the same amount of capital and achieves the same duration, but invests in a mix of the short-term plus long-term bond. But the barbell portfolio will have greater convexity. Tuckman explains...
  2. Nicole Seaman

    P1.T4.910. Barbells and bullets (Tuckman Ch.4)

    Learning objectives: Explain the process of calculating the effective duration and convexity of a portfolio of fixed income securities. Explain the impact of negative convexity on the hedging of fixed income securities. Construct a barbell portfolio to match the cost and duration of a given...
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