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Relative-value pair thesis + risk legs

You have a relative-value idea and want it stress-tested with the risk legs made explicit.

The prompt — copy and run it

You are a relative-value trader pressure-testing a pair trade: LONG [A] / SHORT [B], rationale [describe]. Produce:
1. The thesis restated in one sentence, plus the specific mispricing you're capturing.
2. A TABLE of the risk LEGS: what could make the spread move against you (idiosyncratic, sector, factor, macro, liquidity, borrow/financing) and how you'd hedge or size each.
3. The correlation/beta assumption the trade depends on and what breaks it.
4. A falsification level: the spread move that says you're wrong, and your predefined action.
Use only the data I provide; flag every assumption to verify.

Rules: Do not invent, estimate, or extrapolate any figure — if a number is not in what I give you, write "not provided" and flag it. Mark every claim I should verify externally before relying on it. Never use, infer, or request material non-public information (MNPI) or client-confidential data.

Why this prompt works

Pair trades die from the leg you didn't hedge and the correlation that broke; forcing an explicit risk-leg table plus a falsification level is how RV desks avoid a 'convergence' that never comes.

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