2014 Unit of Study
The session(s) below are for 2014. For Summer School 2014 unit of study availability please visit the Summer School website (main Summer session January/February 2014).
The University of Sydney session calendar shows exact dates for sessions.
|Prerequisites||FINC2012 or FINC2002|
|Additional Information||Knowledge of calculus, regression, probability theory and random distributions are helpful for this subject|
|Lectures||1x 2hr lecture and 1x 1hr tutorial per week|
|Assessment||Applied project: group assignment (15%), assignment presentation (5%), mid-semester test (30%), and final examination (50%)|
|Description||Options, futures and swaps are derivatives of underlying securities such as commodities, equities and bonds. These types of securities are increasingly used to manage risk exposure and as a relatively low-cost-way of taking a position in a security or portfolio. They are also being used as part of senior management compensation as a way of attempting to align the interests of shareholders with that of management. This unit is designed to provide an introduction to this important area of finance without requiring too high a level of mathematical sophistication. However, strong quantitative skills are an advantage in this subject.|