CFA Level 1 (2019) - Financial Derivatives

About this course

What you will learn?Types of Derivative Instruments and marketsDefinitions and terminologiesPricing and Valuation of derivative InstrumentsVarious factors affecting price and valuation of derivative instrumentsInclude all major topics covered in Reading 56 & 57, especially Arbitrage, No-Arbitrage Pricing, Option Value Drivers, Put-Call parity, SWAP valuation, FRAs.RequirementsNoneDescriptionIf you are a beginner and don’t know much about Financial Derivatives. Then you have come to the right place as I have covered all the concepts from scratch.Why you should take this course? What value it will add?Let me first discuss some problems and issues that students encounter when they study Financial derivatives.First, Financial derivatives is one of the complexed courses in Finance, as the students need to have a strong knowledge about fundamentals of Finance to understand the pricing and valuation of financial derivatives instruments.Second, one concept leads to another, so students find it difficult to understand linkages between various interlinked concepts.Third, many of the concepts covered in Financial derivatives are difficult to relate to real life examples as compared to the other subjects in Finance such as Corporate Finance or Financial Reporting and Analysis.I have tried to address the above mentioned issuesBy adding complementary lectures to explain fundamentals of finance which are relevant to the topics covered in the Financial derivativesI have divided the concepts into various parts and explained each part separately and also how all components are related to one anotherI have included examples and focused on relating a concept to a situation. This will help studen

Course objectives

• Provide a foundational understanding of financial derivatives
• Illustrate the relationships between different concepts in derivatives
• Use real-life examples to demonstrate complex principles