Asset 1: Butterfly Spread Formula: H1 = max (S12 - X1, 0) + max (S12 - X2, 0) - - 2 * max (S12 - (X1 + X2) / 2, 0) X1 = 1.4; X2 = 0.6

Asset 2: Butterfly Spread

Here is another case where both payoffs look very similar again. However, the financially equivalent butterfly spread on the opposite side of the market has slightly different slopes to its sides than its original counterpart.