Rich-Cheap Bond Trading AI White Paper

With the Overbond suite, buy-side desks around the globe can generate systematic return with a real-time, fully back-tested, proven and transparent methodology that is scalable and interoperable. Overbond’s rich-cheap model (RCM) provides a quantitative method for screening for mispriced fixed income securities. It’s a mean-reversion valuation model designed to pre-identify bonds as rich “sale” and cheap “purchase” candidates based on proprietary Overbond valuation metrics.