Multi Curve Framework
Multi Curve Framework — Separate projection and discount curves after the crisis.
Definition
Multi Curve Framework refers to separate projection and discount curves after the crisis. Keep that definition fixed when comparing series, managers, or regimes — renaming the same tape does not create a new signal.
Why it matters
Policy-sensitive rates set the discount factor for almost every other asset class. When separate projection and discount curves after the crisis shifts, related hedges, limits, and narratives usually need an explicit update rather than a quiet assumption.
Case
Suppose a desk is positioned for the opposite of what multi curve framework is saying. If separate projection and discount curves after the crisis moves against that book, the first question is not “is the story clever?” but whether size, hedges, and stop logic still match the observation.
How to read it
Read spot, forwards, and real vs nominal together — one leg alone invents a story. Prefer a short written null hypothesis for Multi Curve Framework: what would falsify the current reading in the next window?