Course Outline

  • Introduction
  • Forward rate agreements – FRAs
    • Definition and terminology
    • How fair value FRA rates are calculated
    • Application of FRAs
  • Interest Rate Swaps
  • Definition and terminology
    • Types of Interest rate swaps
    • Application of Interest rate swaps
  • Interest rate options
    • Bond options
    • Floors, caps and collars
    • Interest rate guarantees
    • Swaptions
  • Hedging using options in the interest rate market
  • Risks in the interest rate derivative market

Outcomes

On completion of the program the delegate will be able to:

  • Understand The Terminology Of The Interest Rate Derivative Market
  • Calculate The Price And Settlement Of Forward Rate Agreements
  • Understand The Types And Application Of Interest Rate Swaps
  • Distinguish Between Different Types Of Interest Rate Options
  • Apply The Options To Different Hedging Scenarios
  • Understand The Risks In The Interest Rate Derivatives Market