Financial Derivatives
Module code: AF3070
The main aims of this module are to understand how the main financial derivatives contracts work and understand their main pricing methods. The module will also teach you how financial derivatives can be used to hedge different kinds of risks, and how to design simple trading strategies.
Topics include:
- Introduction to financial derivatives
- Futures and forwards
- Introductions to options contracts
- The bionomial option pricing model
- The Black-Scholes Merton model
- Delta hedging
- Trading strategies
- Swaps
- Financial derivatives: institutions and regulation
- Revision and assessment literacy