Among the T-bonds available for delivery (the short position is given a choice in order to avoid a liquidity squeeze on a single bond), the cheapest to deliver (CTD) bond minimizes the net cost.
David's XLS is here: https://www.dropbox.com/s/0145of75vjwhb8c/082218-tbond-ctd.xlsx
David's XLS is here: https://www.dropbox.com/s/0145of75vjwhb8c/082218-tbond-ctd.xlsx
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