This subject focuses on derivative products and markets; an area which has grown in size over the past century, with the value of derivatives exposures now dwarfing that of stock and bond exposures. The subject examines market structure, participants and the products used for managing risk and/or trading for profit. Students analyse, price and trade forwards, futures, swaps and options. The subject examines key markets for these contracts including derivative exposures over equities, interest rates, foreign exchange and commodities. This subject contributes to the investment analysis specialisation. For more information, please refer to the subject outline. For Study Period 4 2023 onwards, please refer to the subject outline here.
Learning Outcomes Subject Content Duration Assessment Prerequisites Assumed knowledge Course transition subject equivalence Reading list Learning Outcomes On successful completion of this subject, individuals should be able to: Assess the different types of derivative securities and instruments. Analyse the structure, processing and regulatory framework of derivatives markets. Value derivative exposures and construct options trading strategies. Construct hedging, arbitrage and speculative trading strategies using equity derivatives. Construct hedging, arbitrage and speculative trading strategies using short and long-term interest rate derivatives. Construct hedging, arbitrage and speculative trading strategies using FX and commodity derivatives. Subject Content TopicTitle Topic 1Introduction to derivative securities and instruments Topic 2Trading in derivatives Topic 3Pricing of forwards, futures and swaps Topic 4Options pricing Topic 5Options trading and strategies Topic 6Equity derivatives Topic 7Interest rate derivatives- short-term Topic 8Interest rate derivatives- long-term Topic 9FX derivatives Topic 10Commodities Duration The duration of this subject is one study period (12 weeks). Assessment Assessment TypeAssessedWeighting Assignment 1Week 420% Assignment 2Week 840% ExaminationWeek 1240% Click here for an assessment timetable. Prerequisites There are no prerequisites for this subject. However please review the Assumed Knowledge tab to understand the prior knowledge Kaplan advises you should hold before enrolling in this subject. Assumed knowledge Whilst there are no prerequisites for this subject, Kaplan assumes that individuals have completed FIN251 Fixed Income Securities or understand the content covered in this subject, prior to undertaking FIN351 Derivative Markets. Course transition subject equivalence Individuals may not be required to complete this subject if they have transitioned from a SIA/Finsia/Kaplan course and have completed the following subjects within the course completion timeframe: E112 Futures Markets and Trading E113 Options Markets and Trading FIN229 Options Markets and Trading FIN329 Futures and Options Markets and Trading Reading list There is no prescribed text for this subject. Individuals are provided with key readings and access to Kaplan’s online databases. Individuals are encouraged to research and read widely on the topic.
Learn more about Master of Applied Finance, Graduate Diploma of Applied Finance or Graduate Certificate in Applied Finance >
This subject focuses on derivative products and markets; an area which has grown in size over the past century, with the value of derivatives exposures now dwarfing that of stock and bond exposures. The subject examines market structure, participants and the products used for managing risk and/or trading for profit. Students analyse, price and trade forwards, futures, swaps and options. The subject examines key markets for these contracts including derivative exposures over equities, interest rates, foreign exchange and commodities. This subject contributes to the investment analysis specialisation. For more information, please refer to the subject outline. For Study Period 4 2023 onwards, please refer to the subject outline here.
Learning Outcomes Subject Content Duration Assessment Prerequisites Assumed knowledge Course transition subject equivalence Reading list Learning Outcomes On successful completion of this subject, individuals should be able to: Assess the different types of derivative securities and instruments. Analyse the structure, processing and regulatory framework of derivatives markets. Value derivative exposures and construct options trading strategies. Construct hedging, arbitrage and speculative trading strategies using equity derivatives. Construct hedging, arbitrage and speculative trading strategies using short and long-term interest rate derivatives. Construct hedging, arbitrage and speculative trading strategies using FX and commodity derivatives. Subject Content TopicTitle Topic 1Introduction to derivative securities and instruments Topic 2Trading in derivatives Topic 3Pricing of forwards, futures and swaps Topic 4Options pricing Topic 5Options trading and strategies Topic 6Equity derivatives Topic 7Interest rate derivatives- short-term Topic 8Interest rate derivatives- long-term Topic 9FX derivatives Topic 10Commodities Duration The duration of this subject is one study period (12 weeks). Assessment Assessment TypeAssessedWeighting Assignment 1Week 420% Assignment 2Week 840% ExaminationWeek 1240% Click here for an assessment timetable. Prerequisites There are no prerequisites for this subject. However please review the Assumed Knowledge tab to understand the prior knowledge Kaplan advises you should hold before enrolling in this subject. Assumed knowledge Whilst there are no prerequisites for this subject, Kaplan assumes that individuals have completed FIN251 Fixed Income Securities or understand the content covered in this subject, prior to undertaking FIN351 Derivative Markets. Course transition subject equivalence Individuals may not be required to complete this subject if they have transitioned from a SIA/Finsia/Kaplan course and have completed the following subjects within the course completion timeframe: E112 Futures Markets and Trading E113 Options Markets and Trading FIN229 Options Markets and Trading FIN329 Futures and Options Markets and Trading Reading list There is no prescribed text for this subject. Individuals are provided with key readings and access to Kaplan’s online databases. Individuals are encouraged to research and read widely on the topic.
Learn more about Master of Applied Finance, Graduate Diploma of Applied Finance or Graduate Certificate in Applied Finance >
