2 added 3 characters in body; edited title
source | link

How to implement an Interest rate neutral strategy using options?

Intuitively one would think that investing equal amounts in an ETF such as TLT and an short ETF such as TBF (with some factor for the interest rate payout of the long fund) should result in a interest rate neutral strategy. 

However, this does not work out in a back test. What am I missing out?

How to implement an Interest rate neutral strategy using options

Intuitively one would think that investing equal amounts in an ETF such as TLT and an short ETF such as TBF (with some factor for the interest rate payout of the long fund) should result in a interest rate neutral strategy. However, this does not work out in a back test. What am I missing out?

How to implement an Interest rate neutral strategy using options?

Intuitively one would think that investing equal amounts in an ETF such as TLT and an short ETF such as TBF (with some factor for the interest rate payout of the long fund) should result in a interest rate neutral strategy. 

However, this does not work out in a back test. What am I missing out?

1
source | link

How to implement an Interest rate neutral strategy using options

Intuitively one would think that investing equal amounts in an ETF such as TLT and an short ETF such as TBF (with some factor for the interest rate payout of the long fund) should result in a interest rate neutral strategy. However, this does not work out in a back test. What am I missing out?