Financial Markets and Securities

(Michaelmas Term, weeks 4-10)

Module tutor

Professor Grzegorz Pawlina 

Objectives

The aim of this module is to provide you with a strong foundation for an understanding of the economics of financial markets and of the main types of securities traded in these markets. The module will focus on bonds, futures, swaps and options. It will strike a balance between the theory and practice as well as important links between models and the real world. The emphasis will be both on principles and on problem solving. 

Text

J.C. Hull, Options, Futures and Other Derivatives, 8th edition, Pearson Education, ISBN 978-0-273-75907-2.

Topics

  • Bonds
  • Economics of derivatives markets
  • Futures and forwards
  • Swaps
  • Options

Assessment

Coursework 25% of module mark and examination 75% of module mark.

Contact hours

Two one and a half hour classes twice a week for seven weeks.

For those interested in studying to become a Chartered Financial Analyst, it is worth noting that this module contributes to:

  • Securities Markets - CFA level I
  • Derivative Investments - CFA levels I and II
  • Debt Investments - CFA levels I, II and III