Bond Valuation Mastery - Learn To Value Bonds From Scratch.
- 3.5 hours on-demand video
- 10 articles
- 44 downloadable resources
- 1 Practice Test
- Full lifetime access
- Access on mobile and TV
- Assignments
- Certificate of Completion
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Try Udemy for Business- Gain a solid foundation of the core fundamentals that drive the entire Bond Valuation process.
- Understand Bonds inside out, including what they are, their characteristics, types, payoff structure, ratings, and more.
- Apply what you learn immediately with example question walkthroughs, and progressively challenging quizzes with the most detailed solutions, ever.
- Become a PRO at Valuing Zero Coupon (Deep Discount) Bonds, Straight / Vanilla Bonds, and Consols manually and on Excel®.
- Learn the powerful relationship between the Coupon Rate and the Yield to Maturity that most textbooks simply don't teach.
- Estimate the Yield to Maturity of bonds manually as well as on Excel®
- No prior knowledge required. We start from the very basics. And build you to a Bond Valuation Guru.
- It's okay if math freaks you out. Seriously. Every single equation is explained one variable at a time. We rip it apart to its core, and show you how simple it really is.
- You'll need a calculator; a pen and paper would be useful.
Explore how to value one of the most versatile fixed income securities, inside out. Apply rock solid finance fundamentals to value Straight / Vanilla Bonds, Consols, and Zero-Coupon (“Deep Discount”) Bonds as well as their Yields, from scratch. Do this manually, and on Excel® and Google Sheets.
With no prior knowledge required, and a curriculum that's designed for distinction, this course will take you from zero to PRO in one of the most important aspects of modern day Finance. And build your finance fundamentals up from scratch, to hold you in good stead forever.
6 SECTIONS TO MASTERY.
Use our structured learning path, or dive right in to a specific concept you’re struggling with.
Introduction to Bonds
Get the basic finance fundamentals right, first time – so you learn once and retain it forever.
Explore what bonds are, including their types and characteristics.
Discover the “trading status” of bonds and see how ratings work.
The Fundamentals
Gain a solid command over the core finance fundamentals that drive the entire bond valuation process.
Understand the powerful logic and intuition behind discounting future cashflows.
Witness the power of compounding cashflows, including why we use (1+r) and not just r.
Valuing Bonds (Simple Cases)
Value a Zero-Coupon Bond from scratch.
Estimate the price of a Straight / Vanilla bond.
Value a Consol (aka ‘Perpetual Bond), and see why the formula works.
Valuing Bonds (Advanced)
Value bonds with semi-annual and quarterly coupons.
Explore the impact of compounding on bond prices.
See first hand how a change in the yield impacts the value of a bond.
Yield To Maturity Fundamentals
Explore the pre-requisites for estimating the yield.
Learn what the Net Present Value (NPV) is.
Understand the Internal Rate of Return (IRR) and see how it relates to the yield.
Estimating Yield To Maturity (YTM)
Calculate the YTM of a Zero-Coupon Bond from scratch.
Estimate the YTM of a Consol (aka ‘Perpetual Bond’).
Apply your knowledge of NPV and IRR to estimate the yield of a vanilla bond, manually and on Excel.
DESIGNED FOR DISTINCTION
Discover the intuition behind the bond valuation process and gain a solid foundation in Finance Fundamentals thanks to:
A Solid Foundation
You’ll gain a solid foundation of the core fundamentals that drive the entire bond valuation process.
Example Walkthroughs
Every major concept is taught with example question walkthroughs, so you can literally see how we value bonds from scratch.
Loads of Helpful Practice Activities
Apply what you learn immediately with 135 practice questions, all with impeccably detailed solutions.
One Page Cheat Sheets & Resources
Mathematical proofs, one page cheat sheets, workable Excel® & Google Sheets spreadsheets – all included.
Say goodbye to endless memorising.
Engage with carefully thought out, clutter-free, and engaging study materials that focus on the 20% finance fundamentals that drive 80% of the results.
Easily follow through complex concepts with great visuals that don’t overdo it.
Explore why bonds are valued the way they are, instead of memorising formulas without understanding them.
There really always is a reason for everything.
Feel your confidence rise.
Apply what you learn immediately in example question walkthroughs and progressively challenging quizzes with impeccably detailed solutions.
Engage with over 100 questions ranging from simple true and false ones to more complex problems that take you outside your comfort zone.
Questions are relevant for Ivy League / Russell Group University students as well as professionals studying for the ICAEW CFAB, ACA, ACCA, and CFA qualifications.
All questions designed in-house, by Professional Tutors with Russell Group Distinctions.
See how & why the equations work.
Learn why we divide some variables by something, and multiply other variables by something else. Get past the painful approach of memorising countless equations.
Not only will we rip apart each equation one variable at a time, we’ll also give you mathematical proofs that show the equation’s logic one step at a time.
Save yourself time and effort by understanding why the equation works the way it does. Then go out and create your own equations thanks to your new rock solid finance fundamentals.
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Here's what you get. And this is exactly why this is the only course you'll ever need to take to master Bond Valuation:
Over 3.5 hours of on-demand video content, with each concept broken down part by part, variable by variable, one equation at a time. Starting from the very basics, and building you to a point where you can handle more complex problems.
Student-centric, easy-to-read learning materials that will change the way you look at lecture notes. Seriously.
Quizzes and assignments that challenge you, progressively. With the most detailed solutions you've ever seen.
An easy to apply 'Discount Factor Table', with a built-in how to guide.
Mathematical proofs for the mathematically curious!
An instructor who's insanely passionate about Finance and Finance Fundamentals, and obsessed with helping you win.
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- University / College students
- ACA, ACCA, CFA, other Professional Students
- Finance Managers, especially those from a Non-Finance Background
- Investors
- Analysts, aspiring Investment Bankers
- Anyone who wants to learn how to value bonds!
This video sets an important framework, walking you through the 4 characteristics that all bonds have, and the 5 characteristics that most bonds have. You'll also be introduced to the notations we'll use for the rest of this course, and benefit from our jargon buster which will help ensure you don't get overwhelmed / intimidated by the terminologies!
While there are hundreds, if not thousands of "types" of bonds, most if not all of them derive their roots from 3 Types of Bonds. In this video, you'll learn what those 3 types are, as well as their payoff timelines. This will set the initial foundation for later sections, wherein you'll learn to value each of these 3 types of bonds from scratch.
In this video, you'll learn why we divide cashflows by (1+y) instead of say, (1-y) or (1/y) or anything else. You'll also learn why we raise (1+y) to the power of a specific number. Ultimately, this is all because of the power of compounding - a vital concept, especially for the more advanced valuation scenarios you'll learn later in the course.
Now that you know the basics of bonds, and the core fundamentals that drive the entire bond valuation process, we can go deeper and learn how to value bonds. We'll start with the easiest case - Zero Coupon Bonds.
All this while, we assumed the yield was known / given. In this video, you'll learn how to calculate it. Using simple algebraic manipulations, you'll learn how to calculate the yield for a Consol and Zero Coupon Bond, and also learn to calculate the 'Current Yield' for a Vanilla bond.
You'll learn how to estimate the yield for a straight / vanilla bond. This is a relatively advanced topic, and does have pre-requisites. Learning this requires an understanding of the NPV and IRR. While these topics are covered in great depth in our course on Investment Appraisal Mastery, we've included sufficient content relating to both concepts for free in the 'Pre-requisites to Estimating The Yield' section.