Someone asked: What are PT and YT in Pendle?
I usually answer like this: Before maturity, equal amounts of PT and YT can be combined to get back the original yield-bearing asset. PT’s “fixed yield” comes with a caveat: you have to hold it to maturity, and the underlying asset must remain sound. If you sell before maturity, its price will also fluctuate with market interest rates.
$PENDLE 1.931（-1.38%）
What topic would you like to hear about next time? Contracts or something else?
#PENDLE
I usually answer like this: Before maturity, equal amounts of PT and YT can be combined to get back the original yield-bearing asset. PT’s “fixed yield” comes with a caveat: you have to hold it to maturity, and the underlying asset must remain sound. If you sell before maturity, its price will also fluctuate with market interest rates.
$PENDLE 1.931（-1.38%）
What topic would you like to hear about next time? Contracts or something else?
#PENDLE