I knew there was a
formula to figure this out, and I found it via Bill in Dev.

Concerning the
Eurodollar vs 5y cash:

- I know there are
concerns that we’d run over each other and others.
- I sent out the sheet
showing there were 588 different electronic ED contracts.
- I want to clarify it
even further with a formula
- If, out of those 588
contracts, 100 are tradeable, then, the formula for figuring out all the
possibilities is as follows:

N * (N-1)
/ 2

=100 *
(100 – 1) / 2

=100 * 99
/ 2

= 9,900 /
2

=
4,950

- So, the answer for
all the different combinations of tradeable ED spreads is
4,950
- Said differently,
there’s a possible 4,950 different ways to trade those 100 ED
contracts

What about the 5y vs
EDs?

- The answer is a bit
easier to find.
- There’s one 5 yr
contract and 100 tradeble ED contracts.
- So there’s 100
different ways you can spread the trade.

Conclusion:

- We’re
fine

Thank
you,

Goldenberg, Hehmeyer, &
Co.

Treas-Arb

600

Ph.
312-356-6348