WHAT'S NEW?

FINANCIAL MARKET COURSES

Bond Futures

Bond futures markets play an important role within global financial markets. They enhance the distribution of price information leading to a more efficient financial marketplace in terms of derivative products and their underlying instruments.

 

This course will describe the key characteristics of bond futures contracts, and explain the valuation and hedging processes for these derivatives.

  • OBJECTIVES

    On completion of this course you will be able to describe the structures and uses of:

    Recognize the structures of various bond futures markets and contracts

    Identify how bond futures are priced

    Demonstrate how to hedge a position using a bond futures contract

  • COURSE OUTLINE

    Topic 1: Bond Futures Markets & Contracts

    Bond Futures – Introduction

    Bond Futures – Features and Benefits

    Major Future Exchanges

    o Eurex

    o Euronext.liffe

    o Chicago Board of Trade

    Contract Specifications

    Market Participants

    o Bond Traders & Speculators

    o Portfolio Managers

    o Bond Issuers

    Topic 2: Bond Futures Pricing

    Deliverable Bonds

    Factors Affecting CTD Bonds

    Determining the CTD Bond

    o Cost of Carry

    o Conversion Factors

    o Basis

    Topic 3: Hedging with Bond Futures

    Using Futures to Hedge Bond Positions

    Value of a Basis Point Method

    o Underlying Bond

    o Futures Contract

    Modified Duration-Based Hedge Ratio

  • PREREQUISITE KNOWLEDGE

  • ESTIMATED COMPLETED TIME

    60 Minutes

Next Course

VIEW COURSE

INTERMEDIATE

Support

Accreditations

General: info@intuition.com

Accounts: ar@intuition.com

http://support.intuition.com

Intuition engages with over 30 accreditation bodies to ensure Know-How can be used for CPE credits. If your organization needs CPE from a body not listed below, contact us and we will endeavour to have them included.

© Copyright 2016 by Intuition. All Rights Reserved.