Instruct: Identify the main and secondary category of Arxiv papers based on the titles and abstracts
Query: Hedging Against the Interest-rate Risk by Measuring the Yield-curve
  Movement   By adopting the polynomial interpolation method, we propose an approach to
hedge against the interest-rate risk of the default-free bonds by measuring the
nonparallel movement of the yield-curve, such as the translation, the rotation
and the twist. The empirical analysis shows that our hedging strategies are
comparable to traditional duration-convexity strategy, or even better when we
have more suitable hedging instruments on hand. The article shows that this
strategy is flexible and robust to cope with the interest-rate risk and can
help fine-tune a position as time changes.

14
The categories of this paper are: math-ph
31
The categories of this paper are: ao-sci
6
The categories of this paper are: astro-ph
21
The categories of this paper are: adap-org
5
The categories of this paper are: gr-qc
28
The categories of this paper are: alg-geom
20
The categories of this paper are: acc-phys
35
The categories of this paper are: mtrl-th
16
The categories of this paper are: stat
26
The categories of this paper are: bayes-an
25
The categories of this paper are: patt-sol
10
The categories of this paper are: q-bio
30
The categories of this paper are: q-alg
29
The categories of this paper are: funct-an
9
The categories of this paper are: nlin
18
The categories of this paper are: econ