FPE015 Derivatives in Financial Planning

This subject aims to build upon investment product knowledge gained in previous subjects. Students will develop a detailed understanding of additional investment products available, especially in the wholesale markets (such as derivatives) and how they are used to generate yield and/or modify risk. It also explores the increasing financial planning context of these investment instruments which most financial planners have traditionally only been exposed to through the use of managed investment funds.

For more information, please refer to the subject outline.

  • Learning outcomes
    • At the completion of this subject individuals should be able to:

      1. Recommend various specialised investment products having considered their characteristics and relative benefits.
      2. Assess the suitability of specialised investment products for clients.
      3. Determine compliant advice for clients incorporating ‘Derivatives’ product knowledge.
      4. Design an investment portfolio to manage investment risk by using Derivatives and other specialised products for a client.
      5. Apply an understanding of the relevant regulatory guidelines related to the use of specialised investment products.
      6. Analyse any tax implications of using specialised investment products.
  • Subject content
    • Topic Title
      Topic 1 Foreign exchange and debt markets
      Topic 2 Fundamentals of derivatives
      Topic 3 Futures
      Topic 4 Options
      Topic 5 Innovative financial products
      Topic 6 Legal and regulatory guidelines
      Topic 7 Assessing financial risk in client portfolios
      Topic 8 Hedging

  • CPD
    • Kaplan Professional has assessed this subject. Click here for the following CPD hours applicable from 1 January 2019 on successful completion of this course. For subjects or courses completed prior to this date, please contact Kaplan Professional’s CPD Support team on 1300 527 526 or pdmail@kaplan.edu.au.

  • Assessment
    • Assessment Type Assessed Weighting
      Examination Week 6 50%
      Assignment Week 12 50%

      For Study Period 4 2022 onwards:

      Assessment Type Assessed Weighting
      Online Quiz 1 Week 4 10%
      Assignment 1 Week 6 40%
      Online Quiz 2 Week 10 10%
      Assignment 2 Week 12 40%

      Click here for an assessment timetable.

  • Prerequisites
  • Reading list
    • For Study Period 4 2022 onwards:

      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.