TreasuryFuturesAPI.java
package org.drip.service.product;
/*
* -*- mode: java; tab-width: 4; indent-tabs-mode: nil; c-basic-offset: 4 -*-
*/
/*!
* Copyright (C) 2020 Lakshmi Krishnamurthy
* Copyright (C) 2019 Lakshmi Krishnamurthy
* Copyright (C) 2018 Lakshmi Krishnamurthy
* Copyright (C) 2017 Lakshmi Krishnamurthy
* Copyright (C) 2016 Lakshmi Krishnamurthy
* Copyright (C) 2015 Lakshmi Krishnamurthy
*
* This file is part of DROP, an open-source library targeting analytics/risk, transaction cost analytics,
* asset liability management analytics, capital, exposure, and margin analytics, valuation adjustment
* analytics, and portfolio construction analytics within and across fixed income, credit, commodity,
* equity, FX, and structured products. It also includes auxiliary libraries for algorithm support,
* numerical analysis, numerical optimization, spline builder, model validation, statistical learning,
* and computational support.
*
* https://lakshmidrip.github.io/DROP/
*
* DROP is composed of three modules:
*
* - DROP Product Core - https://lakshmidrip.github.io/DROP-Product-Core/
* - DROP Portfolio Core - https://lakshmidrip.github.io/DROP-Portfolio-Core/
* - DROP Computational Core - https://lakshmidrip.github.io/DROP-Computational-Core/
*
* DROP Product Core implements libraries for the following:
* - Fixed Income Analytics
* - Loan Analytics
* - Transaction Cost Analytics
*
* DROP Portfolio Core implements libraries for the following:
* - Asset Allocation Analytics
* - Asset Liability Management Analytics
* - Capital Estimation Analytics
* - Exposure Analytics
* - Margin Analytics
* - XVA Analytics
*
* DROP Computational Core implements libraries for the following:
* - Algorithm Support
* - Computation Support
* - Function Analysis
* - Model Validation
* - Numerical Analysis
* - Numerical Optimizer
* - Spline Builder
* - Statistical Learning
*
* Documentation for DROP is Spread Over:
*
* - Main => https://lakshmidrip.github.io/DROP/
* - Wiki => https://github.com/lakshmiDRIP/DROP/wiki
* - GitHub => https://github.com/lakshmiDRIP/DROP
* - Repo Layout Taxonomy => https://github.com/lakshmiDRIP/DROP/blob/master/Taxonomy.md
* - Javadoc => https://lakshmidrip.github.io/DROP/Javadoc/index.html
* - Technical Specifications => https://github.com/lakshmiDRIP/DROP/tree/master/Docs/Internal
* - Release Versions => https://lakshmidrip.github.io/DROP/version.html
* - Community Credits => https://lakshmidrip.github.io/DROP/credits.html
* - Issues Catalog => https://github.com/lakshmiDRIP/DROP/issues
* - JUnit => https://lakshmidrip.github.io/DROP/junit/index.html
* - Jacoco => https://lakshmidrip.github.io/DROP/jacoco/index.html
*
* Licensed under the Apache License, Version 2.0 (the "License");
* you may not use this file except in compliance with the License.
*
* You may obtain a copy of the License at
* http://www.apache.org/licenses/LICENSE-2.0
*
* Unless required by applicable law or agreed to in writing, software
* distributed under the License is distributed on an "AS IS" BASIS,
* WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
*
* See the License for the specific language governing permissions and
* limitations under the License.
*/
/**
* <i>TreasuryFuturesAPI</i> demonstrates the Details behind the Pricing and the Scenario Runs behind a
* Treasury Futures Contract.
*
* <br><br>
* <ul>
* <li><b>Module </b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/ComputationalCore.md">Computational Core Module</a></li>
* <li><b>Library</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/ComputationSupportLibrary.md">Computation Support</a></li>
* <li><b>Project</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/service/README.md">Environment, Product/Definition Containers, and Scenario/State Manipulation APIs</a></li>
* <li><b>Package</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/service/product/README.md">Product Horizon PnL Attribution Decomposition</a></li>
* </ul>
* <br><br>
*
* @author Lakshmi Krishnamurthy
*/
public class TreasuryFuturesAPI {
/**
* Generate a Full Map Invocation of the Treasury Futures Run Use Case
*
* @param strFuturesCode The Treasury Futures Code
* @param aiFuturesComponentTreasuryEffectiveDate Array of the Treasury Futures Component Effective Date
* @param aiFuturesComponentTreasuryMaturityDate Array of the Treasury Futures Component Maturity Date
* @param adblFuturesComponentTreasuryCoupon Array of the Treasury Futures Component Coupon
* @param adblFuturesComponentConversionFactor Array of the Treasury Futures Component Conversion Factor
* @param iSpotDate Spot Date
* @param astrFundingCurveDepositTenor Deposit Instruments Tenor (for Funding Curve)
* @param adblFundingCurveDepositQuote Deposit Instruments Quote (for Funding Curve)
* @param strFundingCurveDepositMeasure Deposit Instruments Measure (for Funding Curve)
* @param adblFundingCurveFuturesQuote Futures Instruments Tenor (for Funding Curve)
* @param strFundingCurveFuturesMeasure Futures Instruments Measure (for Funding Curve)
* @param astrFundingCurveFixFloatTenor Fix-Float Instruments Tenor (for Funding Curve)
* @param adblFundingCurveFixFloatQuote Fix-Float Instruments Quote (for Funding Curve)
* @param strFundingFixFloatMeasure Fix-Float Instruments Tenor (for Funding Curve)
* @param aiGovvieCurveTreasuryEffectiveDate Array of the Treasury Instrument Effective Date (for Treasury
* Curve)
* @param aiGovvieCurveTreasuryMaturityDate Array of the Treasury Instrument Maturity Date (for Treasury
* Curve)
* @param adblGovvieCurveTreasuryCoupon Array of the Treasury Instrument Coupon (for Treasury Curve)
* @param adblGovvieCurveTreasuryYield Array of the Treasury Instrument Yield (for Treasury Curve)
* @param strGovvieCurveTreasuryMeasure Treasury Instrument Measure (for Govvie Curve)
* @param adblFuturesComponentTreasuryPrice Array of the Treasury Futures Component Clean Prices
*
* @return The Output Measure Map
*/
public static final java.util.Map<java.lang.String, java.lang.Double> ValuationMetrics (
final java.lang.String strFuturesCode,
final int[] aiFuturesComponentTreasuryEffectiveDate,
final int[] aiFuturesComponentTreasuryMaturityDate,
final double[] adblFuturesComponentTreasuryCoupon,
final double[] adblFuturesComponentConversionFactor,
final int iSpotDate,
final java.lang.String[] astrFundingCurveDepositTenor,
final double[] adblFundingCurveDepositQuote,
final java.lang.String strFundingCurveDepositMeasure,
final double[] adblFundingCurveFuturesQuote,
final java.lang.String strFundingCurveFuturesMeasure,
final java.lang.String[] astrFundingCurveFixFloatTenor,
final double[] adblFundingCurveFixFloatQuote,
final java.lang.String strFundingFixFloatMeasure,
final int[] aiGovvieCurveTreasuryEffectiveDate,
final int[] aiGovvieCurveTreasuryMaturityDate,
final double[] adblGovvieCurveTreasuryCoupon,
final double[] adblGovvieCurveTreasuryYield,
final java.lang.String strGovvieCurveTreasuryMeasure,
final double[] adblFuturesComponentTreasuryPrice)
{
org.drip.analytics.date.JulianDate dtSpot = null;
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryMaturity = null;
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryEffective = null;
int iNumGovvieCurveMaturity = null == aiGovvieCurveTreasuryMaturityDate ? 0 :
aiGovvieCurveTreasuryMaturityDate.length;
int iNumGovvieCurveEffective = null == aiGovvieCurveTreasuryEffectiveDate ? 0 :
aiGovvieCurveTreasuryEffectiveDate.length;
java.lang.String[] astrTreasuryBenchmarkCode = new java.lang.String[] {"01YON", "02YON", "03YON",
"05YON", "07YON", "10YON", "30YON"};
int iNumTreasuryBenchmark = astrTreasuryBenchmarkCode.length;
if (null == adblFuturesComponentTreasuryPrice) return null;
if (0 != iNumGovvieCurveMaturity)
adtGovvieCurveTreasuryMaturity = new org.drip.analytics.date.JulianDate[iNumGovvieCurveMaturity];
if (0 != iNumGovvieCurveEffective)
adtGovvieCurveTreasuryEffective = new
org.drip.analytics.date.JulianDate[iNumGovvieCurveEffective];
org.drip.param.market.CurveSurfaceQuoteContainer csqc = new
org.drip.param.market.CurveSurfaceQuoteContainer();
try {
dtSpot = new org.drip.analytics.date.JulianDate (iSpotDate);
for (int i = 0; i < iNumGovvieCurveMaturity; ++i)
adtGovvieCurveTreasuryMaturity[i] = new org.drip.analytics.date.JulianDate
(aiGovvieCurveTreasuryMaturityDate[i]);
for (int i = 0; i < iNumGovvieCurveEffective; ++i)
adtGovvieCurveTreasuryEffective[i] = new org.drip.analytics.date.JulianDate
(aiGovvieCurveTreasuryEffectiveDate[i]);
if (null != adblGovvieCurveTreasuryYield && adblGovvieCurveTreasuryYield.length ==
iNumTreasuryBenchmark) {
for (int i = 0; i < iNumTreasuryBenchmark; ++i) {
org.drip.param.quote.ProductMultiMeasure pmm = new
org.drip.param.quote.ProductMultiMeasure();
pmm.addQuote ("Yield", new org.drip.param.quote.MultiSided ("mid",
adblGovvieCurveTreasuryYield[i]), true);
if (!csqc.setProductQuote (astrTreasuryBenchmarkCode[i], pmm)) return null;
}
}
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
org.drip.product.govvie.TreasuryFutures tsyFut =
org.drip.service.template.ExchangeInstrumentBuilder.TreasuryFutures (dtSpot, strFuturesCode,
aiFuturesComponentTreasuryEffectiveDate, aiFuturesComponentTreasuryMaturityDate,
adblFuturesComponentTreasuryCoupon, adblFuturesComponentConversionFactor);
if (null == tsyFut) return null;
org.drip.product.definition.Bond[] aBond = tsyFut.basket();
int iNumFuturesComponent = adblFuturesComponentTreasuryPrice.length;
for (int i = 0; i < iNumFuturesComponent; ++i) {
org.drip.param.quote.ProductMultiMeasure pmm = new org.drip.param.quote.ProductMultiMeasure();
try {
pmm.addQuote ("Price", new org.drip.param.quote.MultiSided ("mid",
adblFuturesComponentTreasuryPrice[i]), true);
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
csqc.setProductQuote (aBond[i].name(), pmm);
}
org.drip.state.discount.MergedDiscountForwardCurve dcFunding =
org.drip.service.template.LatentMarketStateBuilder.SmoothFundingCurve (dtSpot,
aBond[0].currency(), astrFundingCurveDepositTenor, adblFundingCurveDepositQuote,
strFundingCurveDepositMeasure, adblFundingCurveFuturesQuote,
strFundingCurveFuturesMeasure, astrFundingCurveFixFloatTenor,
adblFundingCurveFixFloatQuote, strFundingFixFloatMeasure);
csqc.setFundingState (dcFunding);
org.drip.state.govvie.GovvieCurve gc =
org.drip.service.template.LatentMarketStateBuilder.ShapePreservingGovvieCurve (tsyFut.type(),
dtSpot, adtGovvieCurveTreasuryEffective, adtGovvieCurveTreasuryMaturity,
adblGovvieCurveTreasuryCoupon, adblGovvieCurveTreasuryYield,
strGovvieCurveTreasuryMeasure);
csqc.setGovvieState (gc);
return tsyFut.value (org.drip.param.valuation.ValuationParams.Spot (dtSpot.julian()), null, csqc,
null);
}
/**
* Generate the Treasury Curve Tenor Key Rate Sensitivity/Duration
*
* @param strFuturesCode The Treasury Futures Code
* @param aiFuturesComponentTreasuryEffectiveDate Array of the Treasury Futures Component Effective Date
* @param aiFuturesComponentTreasuryMaturityDate Array of the Treasury Futures Component Maturity Date
* @param adblFuturesComponentTreasuryCoupon Array of the Treasury Futures Component Coupon
* @param adblFuturesComponentConversionFactor Array of the Treasury Futures Component Conversion Factor
* @param iSpotDate Spot Date
* @param aiGovvieCurveTreasuryEffectiveDate Array of the Treasury Instrument Effective Date (for Treasury
* Curve)
* @param aiGovvieCurveTreasuryMaturityDate Array of the Treasury Instrument Maturity Date (for Treasury
* Curve)
* @param adblGovvieCurveTreasuryCoupon Array of the Treasury Instrument Coupon (for Treasury Curve)
* @param adblGovvieCurveTreasuryYield Array of the Treasury Instrument Yield (for Treasury Curve)
* @param strGovvieCurveTreasuryMeasure Treasury Instrument Measure (for Govvie Curve)
* @param adblFuturesComponentTreasuryPrice Array of the Treasury Futures Component Clean Prices
*
* @return The Treasury Curve Tenor Sensitivity/Duration
*/
public static final java.util.Map<java.lang.String, java.lang.Double> KeyRateDuration (
final java.lang.String strFuturesCode,
final int[] aiFuturesComponentTreasuryEffectiveDate,
final int[] aiFuturesComponentTreasuryMaturityDate,
final double[] adblFuturesComponentTreasuryCoupon,
final double[] adblFuturesComponentConversionFactor,
final int iSpotDate,
final int[] aiGovvieCurveTreasuryEffectiveDate,
final int[] aiGovvieCurveTreasuryMaturityDate,
final double[] adblGovvieCurveTreasuryCoupon,
final double[] adblGovvieCurveTreasuryYield,
final java.lang.String strGovvieCurveTreasuryMeasure,
final double[] adblFuturesComponentTreasuryPrice)
{
double dblBaselineCTDOAS = java.lang.Double.NaN;
org.drip.analytics.date.JulianDate dtSpot = null;
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryMaturity = null;
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryEffective = null;
int iNumGovvieCurveMaturity = null == aiGovvieCurveTreasuryMaturityDate ? 0 :
aiGovvieCurveTreasuryMaturityDate.length;
int iNumGovvieCurveEffective = null == aiGovvieCurveTreasuryEffectiveDate ? 0 :
aiGovvieCurveTreasuryEffectiveDate.length;
java.lang.String[] astrTreasuryBenchmarkCode = new java.lang.String[] {"01YON", "02YON", "03YON",
"05YON", "07YON", "10YON", "30YON"};
int iNumTreasuryBenchmark = astrTreasuryBenchmarkCode.length;
int iNumFuturesComponent = null == adblFuturesComponentTreasuryPrice ? 0 :
adblFuturesComponentTreasuryPrice.length;
if (0 == iNumFuturesComponent) return null;
if (0 != iNumGovvieCurveMaturity)
adtGovvieCurveTreasuryMaturity = new org.drip.analytics.date.JulianDate[iNumGovvieCurveMaturity];
if (0 != iNumGovvieCurveEffective)
adtGovvieCurveTreasuryEffective = new
org.drip.analytics.date.JulianDate[iNumGovvieCurveEffective];
org.drip.param.market.CurveSurfaceQuoteContainer csqc = new
org.drip.param.market.CurveSurfaceQuoteContainer();
try {
dtSpot = new org.drip.analytics.date.JulianDate (iSpotDate);
for (int i = 0; i < iNumGovvieCurveMaturity; ++i)
adtGovvieCurveTreasuryMaturity[i] = new org.drip.analytics.date.JulianDate
(aiGovvieCurveTreasuryMaturityDate[i]);
for (int i = 0; i < iNumGovvieCurveEffective; ++i)
adtGovvieCurveTreasuryEffective[i] = new org.drip.analytics.date.JulianDate
(aiGovvieCurveTreasuryEffectiveDate[i]);
if (null != adblGovvieCurveTreasuryYield && adblGovvieCurveTreasuryYield.length ==
iNumTreasuryBenchmark) {
for (int i = 0; i < iNumTreasuryBenchmark; ++i) {
org.drip.param.quote.ProductMultiMeasure pmm = new
org.drip.param.quote.ProductMultiMeasure();
pmm.addQuote ("Yield", new org.drip.param.quote.MultiSided ("mid",
adblGovvieCurveTreasuryYield[i]), true);
if (!csqc.setProductQuote (astrTreasuryBenchmarkCode[i], pmm)) return null;
}
}
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
org.drip.product.govvie.TreasuryFutures tsyFut =
org.drip.service.template.ExchangeInstrumentBuilder.TreasuryFutures (dtSpot, strFuturesCode,
aiFuturesComponentTreasuryEffectiveDate, aiFuturesComponentTreasuryMaturityDate,
adblFuturesComponentTreasuryCoupon, adblFuturesComponentConversionFactor);
if (null == tsyFut) return null;
org.drip.product.definition.Bond[] aBond = tsyFut.basket();
for (int i = 0; i < iNumFuturesComponent; ++i) {
org.drip.param.quote.ProductMultiMeasure pmm = new org.drip.param.quote.ProductMultiMeasure();
try {
pmm.addQuote ("Price", new org.drip.param.quote.MultiSided ("mid",
adblFuturesComponentTreasuryPrice[i]), true);
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
if (!csqc.setProductQuote (aBond[i].name(), pmm)) return null;
}
java.lang.String strTreasuryType = tsyFut.type();
if (!csqc.setGovvieState
(org.drip.service.template.LatentMarketStateBuilder.ShapePreservingGovvieCurve (strTreasuryType,
dtSpot, adtGovvieCurveTreasuryEffective, adtGovvieCurveTreasuryMaturity,
adblGovvieCurveTreasuryCoupon, adblGovvieCurveTreasuryYield,
strGovvieCurveTreasuryMeasure)))
return null;
org.drip.product.params.CTDEntry ctdEntry = tsyFut.cheapestToDeliverYield (iSpotDate,
adblFuturesComponentTreasuryPrice);
if (null == ctdEntry) return null;
org.drip.product.definition.Bond bondCTD = ctdEntry.bond();
if (null == bondCTD) return null;
double dblCTDExpiryPrice = ctdEntry.forwardPrice();
org.drip.param.valuation.ValuationParams valParamsExpiry =
org.drip.param.valuation.ValuationParams.Spot (tsyFut.expiry().julian());
try {
if (!org.drip.numerical.common.NumberUtil.IsValid (dblBaselineCTDOAS = bondCTD.oasFromPrice
(valParamsExpiry, csqc, null, dblCTDExpiryPrice)))
return null;
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.govvie.GovvieCurve>
mapTenorGovvieCurve = org.drip.service.template.LatentMarketStateBuilder.BumpedGovvieCurve
(strTreasuryType, dtSpot, adtGovvieCurveTreasuryEffective, adtGovvieCurveTreasuryMaturity,
adblGovvieCurveTreasuryCoupon, adblGovvieCurveTreasuryYield,
strGovvieCurveTreasuryMeasure,
org.drip.service.template.LatentMarketStateBuilder.SHAPE_PRESERVING, 0.0001,
false);
if (null == mapTenorGovvieCurve || iNumTreasuryBenchmark > mapTenorGovvieCurve.size()) return null;
org.drip.analytics.support.CaseInsensitiveTreeMap<java.lang.Double> mapKeyRateDuration = new
org.drip.analytics.support.CaseInsensitiveTreeMap<java.lang.Double>();
for (java.util.Map.Entry<java.lang.String, org.drip.state.govvie.GovvieCurve> me :
mapTenorGovvieCurve.entrySet()) {
java.lang.String strKey = me.getKey();
if (!strKey.contains ("tsy")) continue;
if (!csqc.setGovvieState (me.getValue())) return null;
org.drip.product.params.CTDEntry tenorCTDEntry = tsyFut.cheapestToDeliverYield (iSpotDate,
adblFuturesComponentTreasuryPrice);
if (null == tenorCTDEntry) return null;
org.drip.product.definition.Bond tenorBondCTD = tenorCTDEntry.bond();
if (null == tenorBondCTD) return null;
try {
mapKeyRateDuration.put (strKey, 10000. * (tenorBondCTD.priceFromOAS (valParamsExpiry, csqc,
null, dblBaselineCTDOAS) - dblCTDExpiryPrice) / dblCTDExpiryPrice);
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
}
return mapKeyRateDuration;
}
/**
* Returns Attribution for the Treasury Futures
*
* @param strTreasuryCode The Treasury Code
* @param adtEffective Array of Effective Dates
* @param adtMaturity Array of Maturity Dates
* @param adblCoupon Array of Coupons
* @param adtExpiry Array of Futures Expiry Dates
* @param adtSpot Array of Spot Dates
* @param adblCleanPrice Array of Closing Clean Prices
* @param adblConversionFactor Array of the Conversion Factor
*
* @return List of the Position Change Components
*/
public static final java.util.List<org.drip.historical.attribution.PositionChangeComponents>
HorizonChangeAttribution (
final java.lang.String strTreasuryCode,
final org.drip.analytics.date.JulianDate[] adtEffective,
final org.drip.analytics.date.JulianDate[] adtMaturity,
final double[] adblCoupon,
final org.drip.analytics.date.JulianDate[] adtExpiry,
final org.drip.analytics.date.JulianDate[] adtSpot,
final double[] adblCleanPrice,
final double[] adblConversionFactor)
{
org.drip.product.credit.BondComponent[] aTreasury =
org.drip.service.template.TreasuryBuilder.FromCode (strTreasuryCode, adtEffective, adtMaturity,
adblCoupon);
if (null == aTreasury || null == adtExpiry || null == adtSpot || null == adblCleanPrice || null ==
adblConversionFactor)
return null;
int iNumCloses = adtSpot.length;
int[] aiExpiryDate = new int[iNumCloses];
double[] adblYield = new double[iNumCloses];
double[] adblForwardAccrued = new double[iNumCloses];
double[] adblForwardCleanPrice = new double[iNumCloses];
double[] adblForwardModifiedDuration = new double[iNumCloses];
if (1 >= iNumCloses || iNumCloses != aTreasury.length || iNumCloses != adblCleanPrice.length ||
iNumCloses != adtExpiry.length || iNumCloses != adblConversionFactor.length)
return null;
java.util.List<org.drip.historical.attribution.PositionChangeComponents> lsPCC = new
java.util.ArrayList<org.drip.historical.attribution.PositionChangeComponents>();
for (int i = 0; i < iNumCloses; ++i) {
if (null == aTreasury[i]) return null;
org.drip.param.valuation.ValuationParams valParamsSpot =
org.drip.param.valuation.ValuationParams.Spot (adtSpot[i].julian());
org.drip.param.valuation.ValuationParams valParamsExpiry =
org.drip.param.valuation.ValuationParams.Spot (aiExpiryDate[i] = adtExpiry[i].julian());
try {
adblForwardAccrued[i] = aTreasury[i].accrued (aiExpiryDate[i], null);
adblYield[i] = aTreasury[i].yieldFromPrice (valParamsSpot, null, null, adblCleanPrice[i]);
adblForwardCleanPrice[i] = aTreasury[i].priceFromYield (valParamsExpiry, null, null,
adblYield[i]);
adblForwardModifiedDuration[i] = aTreasury[i].modifiedDurationFromPrice (valParamsExpiry,
null, null, adblForwardCleanPrice[i]) * 10000.;
} catch (java.lang.Exception e) {
e.printStackTrace();
}
}
for (int i = 1; i < iNumCloses; ++i) {
if (adblConversionFactor[i] != adblConversionFactor[i - 1]) continue;
java.lang.String strCurrentBondName = aTreasury[i].name();
java.lang.String strPreviousBondName = aTreasury[i - 1].name();
double dblScaledPrice1 = (adblForwardCleanPrice[i - 1] + adblForwardAccrued[i - 1]) /
adblConversionFactor[i - 1];
double dblScaledPrice2 = (adblForwardCleanPrice[i] + adblForwardAccrued[i]) /
adblConversionFactor[i];
try {
org.drip.historical.attribution.TreasuryFuturesMarketSnap tfpms1 = new
org.drip.historical.attribution.TreasuryFuturesMarketSnap (adtSpot[i - 1],
dblScaledPrice1);
if (!tfpms1.setYieldMarketFactor (adblYield[i - 1], -1. * dblScaledPrice1 *
adblForwardModifiedDuration[i - 1], 0.) || !tfpms1.setExpiryDate (adtExpiry[i - 1]) ||
!tfpms1.setCTDName (strPreviousBondName) || !tfpms1.setCleanExpiryPrice
(adblForwardCleanPrice[i - 1]) || !tfpms1.setConversionFactor
(adblConversionFactor[i - 1]))
return null;
org.drip.historical.attribution.TreasuryFuturesMarketSnap tfpms2 = new
org.drip.historical.attribution.TreasuryFuturesMarketSnap (adtSpot[i],
dblScaledPrice2);
if (!tfpms2.setYieldMarketFactor (adblYield[i], -1. * dblScaledPrice2 *
adblForwardModifiedDuration[i], 0.) || !tfpms2.setExpiryDate (adtExpiry[i]) ||
!tfpms2.setCTDName (strCurrentBondName) || !tfpms2.setCleanExpiryPrice
(adblForwardCleanPrice[i]) || !tfpms2.setConversionFactor
(adblConversionFactor[i]))
return null;
org.drip.historical.attribution.PositionChangeComponents pcc = new
org.drip.historical.attribution.PositionChangeComponents (false, tfpms1, tfpms2, 0.,
null);
lsPCC.add (pcc);
} catch (java.lang.Exception e) {
e.printStackTrace();
}
}
return lsPCC;
}
/**
* Generate the Horizon Treasury Curve Tenor Key Rate Sensitivity/Duration
*
* @param strTreasuryType The Treasury Type
* @param adtEffective Array of Effective Dates
* @param adtMaturity Array of Maturity Dates
* @param adblCoupon Array of Coupons
* @param adtExpiry Array of Futures Expiry Dates
* @param adtSpot Array of Spot Dates
* @param adblCleanPrice Array of Closing Clean Prices
* @param astrBenchmarkTenor Array of Benchmark Tenors
* @param aadblGovvieCurveTreasuryYield Array of the Treasury Instrument Yield (for Treasury Curve)
*
* @return The Treasury Curve Tenor Sensitivity/Duration
*/
public static final java.util.List<org.drip.historical.sensitivity.TenorDurationNodeMetrics>
HorizonKeyRateDuration (
final java.lang.String strTreasuryType,
final org.drip.analytics.date.JulianDate[] adtEffective,
final org.drip.analytics.date.JulianDate[] adtMaturity,
final double[] adblCoupon,
final org.drip.analytics.date.JulianDate[] adtExpiry,
final org.drip.analytics.date.JulianDate[] adtSpot,
final double[] adblCleanPrice,
final java.lang.String[] astrBenchmarkTenor,
final double[][] aadblGovvieCurveTreasuryYield)
{
if (null == adtSpot || null == astrBenchmarkTenor || null == aadblGovvieCurveTreasuryYield || null ==
aadblGovvieCurveTreasuryYield[0])
return null;
double dblExpiryCleanPrice = java.lang.Double.NaN;
double dblExpiryGSpread = java.lang.Double.NaN;
int iNumBenchmark = astrBenchmarkTenor.length;
double dblExpiryYield = java.lang.Double.NaN;
double dblSpotGSpread = java.lang.Double.NaN;
double dblSpotYield = java.lang.Double.NaN;
int iNumCloses = adtSpot.length;
if (0 >= iNumCloses || iNumCloses != aadblGovvieCurveTreasuryYield.length) return null;
java.util.List<org.drip.historical.sensitivity.TenorDurationNodeMetrics> lsTDNM = new
java.util.ArrayList<org.drip.historical.sensitivity.TenorDurationNodeMetrics>();
for (int i = 0; i < iNumCloses; ++i) {
if (null == aadblGovvieCurveTreasuryYield[i] || iNumBenchmark !=
aadblGovvieCurveTreasuryYield[i].length)
return null;
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryEffective = new
org.drip.analytics.date.JulianDate[iNumBenchmark];
org.drip.analytics.date.JulianDate[] adtGovvieCurveTreasuryMaturity = new
org.drip.analytics.date.JulianDate[iNumBenchmark];
org.drip.historical.sensitivity.TenorDurationNodeMetrics tdnm = null;
double dblParallelKRD = 0.;
for (int j = 0; j < iNumBenchmark; ++j) {
adtGovvieCurveTreasuryEffective[j] = adtSpot[i];
adtGovvieCurveTreasuryMaturity[j] = adtSpot[i].addTenor (astrBenchmarkTenor[j]);
}
org.drip.state.govvie.GovvieCurve gc =
org.drip.service.template.LatentMarketStateBuilder.ShapePreservingGovvieCurve
(strTreasuryType, adtSpot[i], adtGovvieCurveTreasuryEffective,
adtGovvieCurveTreasuryMaturity, aadblGovvieCurveTreasuryYield[i],
aadblGovvieCurveTreasuryYield[i], "Yield");
org.drip.param.market.CurveSurfaceQuoteContainer csqc = new
org.drip.param.market.CurveSurfaceQuoteContainer();
if (!csqc.setGovvieState (gc)) continue;
org.drip.param.valuation.ValuationParams valParamsSpot =
org.drip.param.valuation.ValuationParams.Spot (adtSpot[i].julian());
org.drip.param.valuation.ValuationParams valParamsExpiry =
org.drip.param.valuation.ValuationParams.Spot (adtExpiry[i].julian());
org.drip.product.credit.BondComponent bondCTD =
org.drip.service.template.TreasuryBuilder.FromCode (strTreasuryType, adtEffective[i],
adtMaturity[i], adblCoupon[i]);
if (null == bondCTD) continue;
try {
dblSpotGSpread = bondCTD.gSpreadFromPrice (valParamsSpot, csqc, null, adblCleanPrice[i]);
dblSpotYield = bondCTD.yieldFromPrice (valParamsSpot, csqc, null, adblCleanPrice[i]);
dblExpiryCleanPrice = bondCTD.priceFromGSpread (valParamsExpiry, csqc, null, dblSpotGSpread);
dblExpiryGSpread = bondCTD.gSpreadFromPrice (valParamsExpiry, csqc, null,
dblExpiryCleanPrice);
dblExpiryYield = bondCTD.yieldFromPrice (valParamsExpiry, csqc, null, dblExpiryCleanPrice);
} catch (java.lang.Exception e) {
e.printStackTrace();
continue;
}
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.govvie.GovvieCurve>
mapTenorGovvieCurve = org.drip.service.template.LatentMarketStateBuilder.BumpedGovvieCurve
(strTreasuryType, adtSpot[i], adtGovvieCurveTreasuryEffective,
adtGovvieCurveTreasuryMaturity, aadblGovvieCurveTreasuryYield[i],
aadblGovvieCurveTreasuryYield[i], "Yield",
org.drip.service.template.LatentMarketStateBuilder.SHAPE_PRESERVING, 0.0001,
false);
if (null == mapTenorGovvieCurve || iNumBenchmark > mapTenorGovvieCurve.size()) continue;
try {
tdnm = new org.drip.historical.sensitivity.TenorDurationNodeMetrics (adtSpot[i]);
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
tdnm.setR1 ("SpotGSpread", dblSpotGSpread);
tdnm.setR1 ("ExpiryGSpread", dblExpiryGSpread);
tdnm.setR1 ("SpotYield", dblSpotYield);
tdnm.setR1 ("ExpiryYield", dblExpiryYield);
tdnm.setDate ("ExpiryDate", adtExpiry[i]);
tdnm.setC1 ("CTDName", bondCTD.name());
tdnm.setR1 ("SpotCTDCleanPrice", adblCleanPrice[i]);
tdnm.setR1 ("ExpiryCTDCleanPrice", dblExpiryCleanPrice);
for (java.util.Map.Entry<java.lang.String, org.drip.state.govvie.GovvieCurve> me :
mapTenorGovvieCurve.entrySet()) {
java.lang.String strKey = me.getKey();
if (!strKey.contains ("tsy")) continue;
if (!csqc.setGovvieState (me.getValue())) return null;
double dblTenorKRD = java.lang.Double.NaN;
try {
dblTenorKRD = -10000. * (bondCTD.priceFromGSpread (valParamsExpiry, csqc, null,
dblSpotGSpread) - dblExpiryCleanPrice) / dblExpiryCleanPrice;
if (!tdnm.addKRDNode (strKey, dblTenorKRD)) continue;
dblParallelKRD += dblTenorKRD;
} catch (java.lang.Exception e) {
e.printStackTrace();
return null;
}
}
tdnm.setR1 ("ParallelKRD", dblParallelKRD);
lsTDNM.add (tdnm);
}
return lsTDNM;
}
}