4: Put-Call Parity
Put-Call Parity – is a key zero-arbitrage concept in the options world which explains that the total payoff of taking opposite…
5: Let’s speak Greek(s)
Option Greeks – risks embedded in an option contract that appear with movements in its variables and determine…
7: Delta and Gamma Hedging
As a concept means neutralising the sensitivity of an option’s price due to change in the price of the underlying stock.
Credit Derivatives – Credit Default Swaps
As we kickstart this subject let’s begin with the most liquid product in this space, the Credit Default Swap.
Financing Products
We are about to navigate back and forth between cash and derivatives and their mix to discuss some popularly talked
Interest Rate Derivatives – As in the Real World
I’ll share the practical workings of interest rate swaps, cross currency swaps, cross currency basis and related variations.
Interest Rate Options Demystified
Interest rate Options – are options on interest rates that at it’s very basic construct can be described in three types
1: BSM vs Black
Interest rate Options – are options on interest rates that at it’s very basic construct can be described…
2: Embedded Bond Options
Bonds are frequently structured with optionality in them for either the issuer or investor.
3: Interest Rate Cap and Floor
Interest Rate Caps – are a certain type of option on interest rates that cap the exposure to higher rates…
