Yield curve strategies

Yield curve strategies

Investments that position a portfolio to capitalize on expected changes in the shape of the Treasury yield curve.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Yield Curve Strategy

Any investment strategy that seeks to profit from changes in the yield curve of U.S. Treasury securities. For example, one may buy a bond at a certain interest rate expecting prevailing interest rates to decline. If and when they do, the price of the bond one holds will increase, allowing one to sell the bond for a profit.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
Mentioned in ?