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Managing Financial Risk
Business & Technology - OLD Program
London, England
Dates: 1/19/17 - 5/21/17
Managing Financial Risk
OVERVIEW
CEA CAPA Partner Institution: London South Bank University
Location: London, England
Primary Subject Area: Finance
Instruction in: English
Course Code: BAF_6_MFR
Transcript Source: TBD
Course Details: Level 400
Recommended Semester Credits: 4
Prerequisites: Fundamentals of Finance, or equivalent
DESCRIPTION
The module focuses on a particular class of risk that businesses face in the conduct of their commercial operations, namely, financial risk. It investigates how different financial risks can be managed using derivative securities. Among the key issues addressed are: the extent to which financial risks can be ?hedged?; the centrality of ?arbitrage? and ?cost of carry? assumptions in determining the relationship between asset values and derivative security prices; the complications associated with valuing more ?difficult? derivatives such as options; factors influencing the choice of risk management instrument; the impact of derivatives markets on notions of market efficiency; the limits of financial risk management initiatives and the role of credit derivatives in the financial market crisis.