### Derivatives Market

- Forum

- Derivatives Market
### Derivatives Market

- Forum
## Derivatives

#### Option, Futures, SWAP !

- Course Overview
### Course Overview

**Course Overview**!In this course you will learn about financial derivatives, including options, futures, forwards, swaps, and other securities as time permits. Our primary emphasis will be on how these contracts are valued and how they can be used to manage risk by hedging. - Prerequisites
### Prerequisites

**Prerequisites**!All students should have successfully completed FINC 5031 (Financial Analysis and Markets) or an equivalent course. I will also assume that you are familiar with basic algebra and statistical techniques and that you are able to use Microsoft Excel. Anyone who has*not*completed the required prerequisites should speak with me before continuing in the course. - Course Materials
### Course Materials

**Textbook:***Fundamentals of Derivatives Markets*, by Robert L. McDonald. (ISBN 0-321-35717-5) - Learning Outcomes
### Learning Outcomes

__Learning Outcomes__- Upon successful completion of this course, students will be able to…

- Define each of the basic derivative contracts, including forwards, futures, swaps, and options;

- State how the payoff for each type of derivative is determined;

- Give examples of how derivatives can be used for hedging and for speculation; and

- Price each type of derivative given the terms of the contract and the characteristics of the underlying asset.

- Course Notes
### Course Notes

The notes for each chapter will be posted to the class web page periodically. You will need to visit the class web page regularly and print out copies of the chapter notes before going through the corresponding online lecture.

- Calculator & Computer
### Calculator & Computer

**Calculator:**You will certainly need a good calculator for this course. At a minimum, you should have a scientific calculator with exponential and logarithm functions, but additional financial and statistical functions may also be helpful.**Computer:**I will assume that you have access to a computer with Microsoft Office and a reliable broadband internet connection. - Quizzes & Homework
- Grading
### Grading

Your performance in this course will be evaluated as follows:

Chapter quizzes 110 points

Total

__110 points__ - Study guide Chapter by chapter
### Study guide Chapter by chapter

**- You should start from chapter 1, then do the next chapters****- (1) You should watch video - mark complete, (2) and then do chapter quiz, and mark complete quiz of chapter 1, (3) then do the next chapters** - Chapter 1 - Introduction to Derivatives
### Chapter 1 - Introduction to Derivatives

## Chapter 01

**Introduction to Derivatives**!**After studying this chapter, you will understand derivatives market.**__Learning Objectives:__- Understanding types of
- Options
- Futures / Forward
- SWAP

+ In this chapter, you will (1) watch all Video lecture, (2) do trade option, future, contract on Stocktrak, (3) do chapter quizzes.

+ (1) After watching 4 videos in chapter 1 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 1 - Forum, Stocktrak login & Quizzes !

- Forum
Chapter 1 - Video Lecture.

- Quiz
**Opens:**Sunday, 12 January 2025, 5:00 AM**Closes:**Sunday, 12 January 2053, 6:00 AM - Video Time
- Video Time

- Chapter 2 - An Introduction to Forwards and Options
### Chapter 2 - An Introduction to Forwards and Options

## Chapter 02

**An Introduction to Forwards and Options**!**After finishing this chapter, you will understand Forward and options products, and how they trade in the financial market.**__Learning Objectives:__- Forward contract

- Option contract

+ In this chapter, you will (1) watch all Video lecture, (2) do trade option, future, contract on Stocktrak, (3) do chapter quizzes.

+ (1) After watching 3 videos in chapter 2 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 2 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 14 January 2025, 7:01 PM**Closes:**Tuesday, 21 January 2053, 6:59 PM Chapter 2 - Video Lecture.

- Video Time
- Video Time

- Chapter 3 - Insurance, Collars, and Other Strategies
### Chapter 3 - Insurance, Collars, and Other Strategies

## Chapter 03

**Insurance, Collars, and Other Strategies**!**After studying this chapter, you will understand how to apply forward and options contracts.**__Learning Objectives:__- Options can be…
- used to insure long positions (floors).
- used to insure short positions (caps).
- written against asset positions (selling insurance).

+ In this chapter, you will (1) watch all Video lecture, (2) do trade option, future, contract on Stocktrak, (3) do chapter quizzes.

+ (1) After watching 5 videos in chapter 3 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 3 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 21 January 2025, 7:01 PM**Closes:**Tuesday, 28 January 2053, 6:59 PM Chapter 3 - Video Lecture.

- Video Time
- Video Time
- Video Time

- Options can be…
- Chapter 4 - Risk management
### Chapter 4 - Risk management

## Chapter 04

**Risk management**!**After studying this chapter, you will understand how to do risk management.****-**__Learning Objectives:__- Basic Risk Management.
- Manage risk for input and output products.

+ (1) After watching 3 videos in chapter 4 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 4 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 28 January 2025, 7:01 PM**Closes:**Tuesday, 4 February 2053, 6:59 PM Chapter 4 - Video Lecture.

- Basic Risk Management.
- Chapter 5 - Financial Forwards and Futures
### Chapter 5 - Financial Forwards and Futures

## Chapter 05

**Financial Forwards and Futures**!**After finishing this chapter, you will understand Forward and options products, and how they trade in the financial market .****-**__Learning Objectives:__- Stock and index futures/forwards:
- How are they used?
- How are they Priced ?
- How are they hedged ?

+ (1) After watching 5 videos in chapter 5 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 5 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Monday, 5 February 2024, 7:01 PM**Closes:**Tuesday, 11 February 2053, 6:59 PM Chapter 5 - Video Lecture.

- Video Time

- Stock and index futures/forwards:
- Chapter 6 - The Wide World of Futures Contracts
### Chapter 6 - The Wide World of Futures Contracts

## Chapter 06

**The Wide World of Futures Contracts**!**After studying this chapter, you will understand how to pricing Currencies Futures & Commodities Future Contracts.****-**__Learning Objectives:__- Pricing currencies future contracts.
- Pricing commodities future contracts.

+ (1) After watching 5 videos in chapter 6 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 6 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 11 February 2025, 7:01 PM**Closes:**Tuesday, 18 February 2053, 6:59 PM Chapter 6 - Video Lecture.

- Video Time
- Video Time
- Video Time

- Chapter 7 - Interest Rate Forwards and Futures
### Chapter 7 - Interest Rate Forwards and Futures

## Chapter 07

**I**nterest Rate Forwards and Futures !**After studying this chapter, you will understand derivatives markets.****-**__Learning Objectives:__- Understanding types of
- Options
- Futures / Forward
- SWAP

+ (1) After watching 7 videos in chapter 7 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 7 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 18 February 2025, 7:01 PM**Closes:**Tuesday, 25 February 2053, 6:59 PM Chapter 7 - Video Lecture.

- Video Time
- Video Time
- Video Time

- Chapter 8 - Swaps
### Chapter 8 - Swaps

## Chapter 08

**Swaps**!**After studying this chapter, you will understand how to trade SWAP contracts.****-**__Learning Objectives:__- Deification of SWAP
- Pricing SWAP contracts
- Trade SWAP contracts

+ (1) After watching 4 videos in chapter 8 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 8 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 25 February 2025, 7:01 PM**Closes:**Tuesday, 4 March 2053, 6:59 PM Chapter 8 - Video Lecture.

- Video Time
- Video Time

- Deification of SWAP
- Chapter 9 - Parity and Other Option Relationships
### Chapter 9 - Parity and Other Option Relationships

## Chapter 09

**Parity and Other Option Relationships**!**After studying this chapter, you will understand the Parity and Other Option Relationships.****-**__Learning Objectives:__- Deification of SWAP
- Pricing SWAP contracts
- Trade SWAP contracts

+ (1) After watching 5 videos in chapter 9 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 9 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 4 March 2025, 7:01 PM**Closes:**Tuesday, 11 March 2053, 6:59 PM Chapter 9 - Video Lecture.

- Video Time

- Deification of SWAP
- Chapter 10 - Binomial Option Pricing
### Chapter 10 - Binomial Option Pricing

## Chapter 10

#### Binomial Option Pricing !

**After studying this chapter, you will understand how to price Binomial Option.****-**__Learning Objectives:__- Pricing Binomial Option
- Call Options
- Put Option

+ (1) After watching 7 videos in chapter 10 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 10 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 11 March 2025, 7:01 PM**Closes:**Tuesday, 18 March 2053, 6:59 PM Chapter 10 - Video Lecture.

- Video Time
- Video Time
- Video Time
- Video Time

- Chapter 11 - The Black-Scholes Formula
### Chapter 11 - The Black-Scholes Formula

## Chapter 11

**The Black-Scholes Formula**!**After studying this chapter, you will understand The Black-Scholes Formula.****-**__Learning Objectives:__- The Black-Scholes Formula of
- Options
- Futures / Forward
- SWAP

+ (1) After watching 3 videos in chapter 11 below, (2) do trade stocktrak assignment, (3) please mark complete the videos on the right hand side, (4) then do the chapter quiz.

Chapter 11 - Forum, Stocktrak login & Quizzes !

- Forum
- Quiz
**Opens:**Tuesday, 18 March 2025, 7:01 PM**Closes:**Tuesday, 25 March 2053, 6:59 PM Chapter 11 - Video Lecture.

- Video TimeChapter 11: Introduction to Black-Scholes Model Video TimeNot available unless: The activity
**Chapter 10: Options on Other Assets**is marked complete - Video TimeChapter 11: Applying BS to Other Assets Video TimeNot available unless: The activity
**Chapter 11: Introduction to Black-Scholes Model**is marked complete - Video TimeChapter 11: Option Greeks Video TimeNot available unless: The activity
**Chapter 11: Applying BS to Other Assets**is marked complete

- Survey
### Survey

- SurveyPlease do the survey as you complete chapter 11Not available unless: The activity
**Chapter 11 - Quiz**is marked complete

- Thank you !

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