Aims

This one day course will establish participants’ understanding of FX option-based products. The programme assumes a beginner’s understanding of options, but those with a basic level of knowledge will still benefit greatly. The course looks at features, applications, risks and rewards and even price derivation so that attendees, as well as gaining a fuller understanding themselves, can present the features, applications, costs and associated risks to clients to help them demystify some FX structures on offer.

 

Objectives

By the end of the course, delegates will be able to:

  • Understand option terminology
  • Intuitively approach options valuation
  • Construct risk management solutions

 

Who should attend?

  • Corporate sales
  • Institutional relationship managers
  • Wealth managers
  • Risk management
  • Legal and compliance
  • Operations
  • IT and software developers
  • Finance and accounting

 

Content

    • Refresh on forwards
    • Options terminology and key features
    • Option value drivers
    • Option applications – structuring and valuation in Excel model

– Vanilla options
– Risk reversal
– Participating forward
– Bonus forward

  • Barrier options and the forward extra