FINC 675 - Derivatives and Risk Management

3 Credits
This course is a study of options, futures, and other derivative securities and their role in risk management. Students will learn to select the appropriate derivative security to mitigate risk, determine the payoffs to risk management strategies, and arbitrage mispricings. The course takes an intuitive approach, stressing the use of these instruments by market participants in practical situations.

Grade Note(s): A grade of C or better is required on the final assessment in order to earn a passing grade in this course.
Prerequisite(s): FINC 620
Course Learning Outcomes:
1. To understand and analyze different types of risk and apply the appropriate hedging instrument in each case.
2. To apply trading strategies in different derivative markets.
3. To analyze and understand arbitrage mispricing and the pricing of different derivative securities.
4. To create risk management strategies.
5. To gauge and manage financial risks.