5 Days Training on Financial Derivatives

Service Description

Financial Products Consulting and Training (FPCT) is a leading consultancy and training provider specialising in financial product consulting and training for derivatives instruments. Derivatives are diverse and complex financial contracts derived from underlying assets like stocks, bonds, currencies, commodities, and indices. They include options, swaps, futures, and forwards. FPCT's expert consultants and trainers offer personalised guidance to help clients optimise their financial performance, manage risks, and effectively utilise derivatives for hedging or speculation. Day 1: Introduction to Derivatives and Basic Concepts • Derivatives Overview: Definition, purpose, market players. • Types: Futures, options, swaps, forwards - uses and structures. • Market Participants: Speculators, hedgers, arbitrageurs, and market makers. • Pricing Basics: Time value of money, present/future value. • Risk and Reward: Exploring risk-return trade-off in derivatives. Day 2: Derivative Pricing and Trading • Option Pricing: Black-Scholes, Binomial models - principles. • Futures Pricing: Cost of carry, arbitrage, pricing relationships. • Market Mechanics: Orders, spread, depth, dynamics. • Trading Strategies: Long/short positions, spreads, straddles. • Trading Cases: Real-world pricing and trading examples. Day 3: Risk Management and Compliance • Risk Assessment: Market, credit, liquidity, operational risks. • Margin and Collateral: Requirements, management. • Regulatory Framework: Bodies, compliance in derivatives. • Risk Mitigation: Hedging, diversification, risk using derivatives. • Risk Cases: Analysing risk failures, and impact on markets. Day 4: Advanced Derivative Strategies • Option Strategies: Covered call, protective put, spreads. • Volatility Trading: VIX, capitalising on volatility. • Structured Products: CDOs, CDS, complex derivatives. • Portfolio Management: Enhancing returns, and managing risk. • Strategy Cases: Exploring successful/failed strategies. Day 5: Derivatives Application and Future Trends • Real-World Application: Commodities, currencies, interest rates. • Derivatives and Speculation: Ethics, market impact. • Tech Advancements: Algorithmic, high-frequency trading, AI. • ESG Derivatives: Introduction, growing importance. • Future Trends: Emerging, challenges, opportunities.