Get a Sound Understanding of Yield Curve Construction and Knowledge of Forwards with this E-Learning Course.

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/reports/c28778) has announced the addition of E-Learning Course: Yield Curves to their offering.

The yield curve is a key concept in the money, bond, and interest rate derivatives markets. It plots the yields of similar quality instruments against their maturities, and shows whether short-term interest rates are higher than long-term rates. A yield curve is constructed by looking at observable market rates and performing any necessary transformations. A sound understanding of yield curve construction and knowledge of forwards, as described in this course, provides the basis for interest rate derivatives pricing.

In this course, you will explore:

-- The bootstrapping method for building a yield curve

-- The fundamentals of FRAs

-- The settlement and valuation of FRAs

-- The pricing of FRAs from both the cash and futures market 

-- The use of futures to build a yield curve

The following tutorials are included in this E-Learning course:

1. Building a Yield Curve

On completion of this tutorial, you will be able to:

-- differentiate between a par-coupon yield curve and a zero-coupon yield curve

-- bootstrap a zero-coupon yield curve using deposit and swap rates

-- plot par-coupon and zero-coupon forward yield curves

2. FRAs - An Introduction

On completion of this tutorial you will be able to:

-- define a forward rate agreement (FRA) and cite specific examples where FRAs may be used

-- calculate the settlement amount of an FRA and explain how it is valued during its life

3. FRAs - Pricing

On completion of this tutorial you will be able to:

-- price an FRA using the cash market

-- price an FRA using the futures market

4. Futures - Building a Yield Curve (Even Periods)

On completion of this tutorial you will be able to:

--identify the differences between forward and futures contracts and the limitations that are associated with using futures contracts to generate swap rates

--generate interest rate swap rates for even periods using a strip of short-term futures prices

5. Futures - Building a Yield Curve (Actual Dates)

On completion of this tutorial you will be able to:

--generate interest rate swap rates for actual dates using a strip of short-term futures prices

--explain the concept of convexity bias

This course is designed for:

--new or recent recruits to banking and financial organizations

--dealers/traders

--portfolio managers

--treasury department staff

--sales and marketing executives

--finance and accounting staff

--compliance and regulatory staff

For more information visit http://www.researchandmarkets.com/reports/c28778