FIN7550 DERIVATIVES: THEORY AND PRACTICE
FIN7550 Derivatives: Theory and Practice
This course examines the pricing and use of derivatives in depth. It will cover the mathematical underpinnings of forwards, futures, options, swaps and more exotic derivatives, as well as the practical uses of these derivatives to hedge and manage risk. This course will cover the Black-Scholes option pricing formula, binomial trees and risk-neutral pricing. Applications include financial hedging of foreign exchange risk, commodity risk, and interest rate risk; as well as portfolio immunization techniques.
Prerequisite: FIN7200 or FIN7800
Course Level:MSF Core (Grad),MSBA Elective (Grad),Graduate Elective (Grad)