Upon completion of this course the Student should be able to:
Financial markets and instruments. Derivatives markets (fixed income derivatives etc.). Interest rate option, equity derivatives. Futures markets, related markets (swaps), analysis of derivatives and other products (futures, options). Arbitrage problems. Hedging strategies. Theoretical price of futures. Basis and factors causing change. Determinations of option price. Options pricing models. Volatility and related topics. Options strategies. Sensitivity analysis of options premiums. Asset-backed securities and floating rate notes.