Small Stakes - March 1, 2021 - The Butterfly Spread in Futures
Do you think one the loneliest number? Is two as bad as one? Well, surely three is enough! Frank and Pete build the three-legged butterfly spread on today's show. The guys use the new Small Yield Curve futures to put three distinct markets into one cohesive idea. Frank views the trade as two spreads coming together in the same way two markets come together in a pairs trade.
Find out all about the futures butterfly spread, and see if a three-legged interest rate trade is your portfolio's type of action.