DERIVATIVE SECURITIES
FIN3FDR
Not currently offered
Credit points: 15
Subject outline
In recent years there has been a dramatic increase in the size and complexity of both the types of financial investments and the institutions which are involved in the markets for investment products. In order to reduce the risks associated with trading in these markets specialized markets for risk management called derivative markets have rapidly developed. Unfortunately in some cases these markets have increased rather than reduced the financial risks faced by individuals, corporations and even governments. The markets for financial derivatives have, in the words of Warren Buffett, become potential weapons of Financial Mass Destruction. This subject provides you with a roadmap which will help them to understand and effectively function in the world of Financial Derivatives. You will cover main types of financial derivatives such as forwards, futures, swaps, and options. The emphases is on how to price financial derivatives and how to use them in risk management.
School: La Trobe Business School (Pre 2022)
Credit points: 15
Subject Co-ordinator:
Available to Study Abroad/Exchange Students: Yes
Subject year level: Year Level 3 - UG
Available as Elective: No
Learning Activities: Lecture, tutorial questions, quiz, mid-term test, and final exam
Capstone subject: No
Subject particulars
Subject rules
Prerequisites: FIN1FOF OR FIN2FIN
Co-requisites: N/A
Incompatible subjects: N/A
Equivalent subjects: N/A
Quota Management Strategy: N/A
Quota-conditions or rules: N/A
Special conditions: N/A
Minimum credit point requirement: N/A
Assumed knowledge: N/A
Learning resources
Options, Futures and other Derivatives.
Resource Type: Book
Resource Requirement: Prescribed
Author: John C Hull
Year: N/A
Edition/Volume: N/A
Publisher: PEAR COLLEGE DIV
ISBN: 9781292212890
Chapter/article title: N/A
Chapter/issue: N/A
URL: N/A
Other description: N/A
Source location: N/A
Career Ready
Career-focused: No
Work-based learning: No
Self sourced or Uni sourced: N/A
Entire subject or partial subject: N/A
Total hours/days required: N/A
Location of WBL activity (region): N/A
WBL addtional requirements: N/A