
Explore applied derivatives using real market data from the National Stock Exchange of India, analyzing futures and options with Excel-driven risk management and hedging techniques.
Explore forward contracts, traded over the counter with limited market data, where two parties or a bank intermediary set today’s delivery price and quantity for a future asset.
The farmer hedges cotton price risk by selling a forward contract, comparing physical and cash settlements. Forward payoffs stay fixed against different spot prices, illustrating hedging as a risk-management approach.
Determine your current asset position and expected price movement to decide on a long, short, or no forward or futures position. Assess risk and scenarios for buying, selling, or speculating.
Explore stock futures on the NSE, including index futures like Nifty 50 and stock futures on 136 eligible shares, with minimum lot sizes and three expiries on the last Thursday.
Explore the principle of convergence, where share price and futures price move together and converge at expiry, and learn hedging using long or short futures to offset asset movements.
Learn how squaring off futures lets traders exit before expiry by offsetting long and short positions with the same contract and expiry, determining payoff from price differences.
Extract one year of futures data from the NSC website for a stock, build payoffs, and test the convergence principle with rollover and mark-to-market.
Explore futures pricing with Reliance data, showing futures price as the locked price for 25 June expiry, not the payment to enter, and long buys at settlement with no money.
Cost of carry equals the theoretical futures price minus the spot price, representing the interest component, as shown by a graph where carry declines toward zero over time.
Explore how call premium increases with rising spot price and how put premium rises when the spot falls, illustrated with Nifty 50 data and strike prices 12,200 and 13,000.
Explore option strategies for trading risk and profit, from long puts and protective positions to covered calls and collars, including futures hedges and premium concepts.
Learn put-call parity and how call and put prices relate to the present value of the strike. Build synthetic options and test parity using spot prices, strike, and market data.
This course takes a Risk Management Approach to Derivatives. And, thus, not ideally suited if you want to explore only Futures/Options Trading & Profit Making. Although, under Options segment, the course covers & evaluates Options Trading Strategies to a fair extent. The course also involves lot of mathematics & number crunching - working on stock prices, derivatives prices, using MS Excel.
This is a beginner to intermediate level course to the world of Derivatives. It can be used as a replacement or as an addendum to the College level courses on Derivatives.
Here you will learn concepts through an application-oriented approach to derivatives. The course works on live as well as historical data available on Derivatives – extracted from National Stock Exchange or NSE website (Stock Futures, Stock Options, Index Futures, Index Options), and Multi Commodity Exchange or MCX website (for Commodity Futures contract). Various excel based exercises and models are used to enhance learning.
The course also covers multiple Derivatives Trading Strategies. However, focus is more around the Derivatives concepts from Hedger’s viewpoint and less from Speculator’s viewpoint, although the course attempts to do justice with both.
Course Highlights:
Application based course with 6 hours of extensive coverage on Forwards, Futures and Options
Insightful coverage of Derivatives using Real Market Data from NSE website
Fetch and apply concepts directly on Derivatives and Stock Prices of companies like Reliance Industries, Infosys, HUL, IndusInd Bank, Nifty
The course is full of financial workings on derivatives and include multitude of practice exercises
Extensive use of Microsoft Excel for enhanced learning
All excel workings, templates and models are downloadable resources
Covers Derivatives on Stocks (Stock Options and Futures), Commodity Derivatives (Gold, Aluminium, Cotton) and many more from the real world
Preview videos to multiple chapters are available - enroll if you find value after watching previews