
Explore how ownership is divided into shares, calculate market capitalization from share count and price, and understand cap sizes with Apple examples and how buying pressure impacts price.
Explore convertible bonds that may convert to shares when stock value exceeds par value via the conversion ratio, and callable bonds with high fixed coupons redeemable early if rates fall.
Explore physical, capital, and derivative markets where buyers and sellers transact at prices driven by supply and demand, and learn how derivatives hedge risk and arbitrageurs profit from pricing differences.
This course is a foundation programme in financial markets. It covers the major capital markets – equities and debt and the main derivative markets – futures, forwards, options and swaps.
Students will learn about each of the main products and how they are used by companies and institutions such as fund managers and banks.
Through the course students will:
Gain confidence in understanding the terminology used in the markets.
Learn distinct features of equity product and its market
Learn distinct features of fixed income products
Learn to price a simple bond and read bond yield curve
Understand working of range of derivative products and its application in financial market
Understand the dynamics of different market structures