Derivatives Foundation case studies, worked step by step

Cases
100
Traced to a firm
12
Topics
12
Hard
29
Topic
All topicsMargin, clearing and risk limits8Market making and trading scenarios8Option pricing and arbitrage checks8Option strategies and trade ideas10Hedging with futures8Forwards, futures and arbitrage8Volatility trading8Interest rate derivatives9Structured products and client solutions7Currency derivatives and corporate FX hedging9Credit derivatives and counterparty risk7Greeks and managing an options book10
Level
AnyWarm upCoreHard
Source
AnyReported at a firmStandard
Showing 1–2 of 2 · filtered from 100Clear filters
  1. 056A one-year note pays twice the stock's rise up to 15%, so at most 30%, and loses one for one if the stock falls. Tabulate it against owning the stock for moves of minus 20%, 0, plus 10%, plus 15% and plus 40%.Structured products and client solutionsWarm upStructured productsWealth management
  2. 086An adviser compares a three-year note paying 100% of the index's price rise, with no protection, against a plain index fund. The index yields 1.3% a year in dividends. What does the note holder give up, and how do you explain it to the client?Structured products and client solutionsWarm upWealth managementStructured products

Company names and figures are illustrative.