Financial Risk & Valuation: Bonds to Options

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Financial Risk & Valuation: Bonds to Options

This course is part of Financial Risk and Quantitative Finance Specialization

Instructor: EDUCBA

Included with

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6 modules

Gain insight into a topic and learn the fundamentals.

2 weeks to complete

at 10 hours a week

Flexible schedule

Learn at your own pace

6 modules

Gain insight into a topic and learn the fundamentals.

2 weeks to complete

at 10 hours a week

Flexible schedule

Learn at your own pace

What you'll learn

Apply valuation and risk models, including VaR, to measure and manage financial risk.
Analyze fixed income securities using duration, convexity, and yield curve techniques.
Evaluate derivatives and hedging strategies using option pricing models and Greeks.

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This course is part of the Financial Risk and Quantitative Finance Specialization

When you enroll in this course, you'll also be enrolled in this Specialization.

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There are 6 modules in this course

Master financial risk modeling, valuation techniques, and derivatives pricing for real-world finance and FRM success.

Learn how to apply VaR, bond analytics, and option pricing models with confidence. This course provides a comprehensive foundation in valuation and risk models aligned with FRM Level I. You will explore portfolio theory, risk measurement techniques, and credit risk frameworks before advancing into fixed income analytics and derivatives pricing. Through structured modules, you will learn how to measure and manage risk using tools like Value at Risk (VaR), duration, convexity, and yield curve analysis. The course also introduces binomial models and the Black-Scholes framework to price options and understand market behavior. By the end of the course, you will be able to analyze financial risks, evaluate investment decisions, and implement hedging strategies using Greeks. Whether you are preparing for the FRM exam or building practical finance skills, this course equips you with industry-relevant knowledge and application-focused insights.

Learn core risk-return principles, diversification, coherent risk measures, and practical Value at Risk (VaR) applications.

What's included

8 videos4 assignments

8 videosTotal 66 minutes

Introduction to Course3 minutes
Learning Objectives11 minutes
Mean Variance Framework10 minutes
Coherent Risk Measure5 minutes
VaR12 minutes
Calculating and Applying9 minutes
Calculating and Applying Continue7 minutes
VaR Approaches9 minutes

4 assignmentsTotal 60 minutes

Course Kickoff & Objectives10 minutes
Portfolio Theory Basics10 minutes
VaR in Practice10 minutes
Foundations of Risk & Portfolio Theory 30 minutes

Analyze credit ratings, country risk, expected vs unexpected loss, and operational risk in financial institutions.

What's included

9 videos4 assignments

9 videosTotal 94 minutes

VaR Approaches Continue12 minutes
External Credit Ratings12 minutes
Internal Credit Ratings10 minutes
Rating Biases3 minutes
Country Risk- Determinants11 minutes
Measures and Implications13 minutes
Bond Defaults13 minutes
Expected and Unexpected Loss8 minutes
Operational Risk12 minutes

4 assignmentsTotal 60 minutes

VaR Methodologies Deep Dive10 minutes
Credit Risk & Biases10 minutes
Loss & Risk Types10 minutes
Advanced Risk Measurement Techniques30 minutes

Understand regulatory frameworks, stress testing techniques, discounting, arbitrage, and interest rate fundamentals.

What's included

8 videos4 assignments

8 videosTotal 69 minutes

Regulatory Capital9 minutes
Tool and Term3 minutes
Stress Testing10 minutes
Stress Testing Continue10 minutes
Pricing Convention11 minutes
Discounting12 minutes
Arbitrage6 minutes
Interest Rates9 minutes

4 assignmentsTotal 60 minutes

Capital & Regulatory Framework10 minutes
Stress Testing Concepts10 minutes
Time Value & Arbitrage10 minutes
Regulatory & Stress Testing Frameworks30 minutes

Evaluate bonds using pricing models, yield curves, spreads, YTM, duration, convexity, and return decomposition.

What's included

9 videos4 assignments

9 videosTotal 86 minutes

Yield Curve and Term Structure10 minutes
Bond Pricing5 minutes
Bond Spread11 minutes
Bond YTM12 minutes
Return Decomposition10 minutes
Different Method Example11 minutes
Applying Duration11 minutes
Convexity11 minutes
DV016 minutes

4 assignmentsTotal 60 minutes

Yield Curve Mechanics10 minutes
Bond Valuation Metrics10 minutes
Duration & Convexity10 minutes
Fixed Income & Yield Analysis30 minutes

Model yield curve movements, analyze non-parallel shifts, and apply binomial models for pricing and risk analysis.

What's included

8 videos4 assignments

8 videosTotal 88 minutes

Issue with one Factor Approach11 minutes
Non Parallel Term Example 111 minutes
Non Parallel Term Example 213 minutes
Non Parallel Term Example 313 minutes
Binomial Model10 minutes
Modifying the Binomial13 minutes
Modifying the Binomial Continue7 minutes
Lognormal Property of Stock Price11 minutes

4 assignmentsTotal 60 minutes

Term Structure Challenges10 minutes
Advanced Curve Movements10 minutes
Binomial Enhancements10 minutes
UntitledInterest Rate Risk Modeling30 minutes

Price options using Black-Scholes and binomial models, and manage risk using Greeks and hedging techniques.

What's included

8 videos4 assignments

8 videosTotal 93 minutes

The BSM Formula13 minutes
The BSM Formula Continue10 minutes
BSM Example13 minutes
Greeks12 minutes
Delta vs Moneyness11 minutes
European Call and Put11 minutes
Delta Natural Heeding12 minutes
Delta Natural Heeding Continue11 minutes

4 assignmentsTotal 60 minutes

Black-Scholes Foundation10 minutes
Option Sensitivities (Greeks)10 minutes
Hedging Strategies10 minutes
Derivatives & Option Pricing30 minutes

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Instructor

EDUCBA

1,533 Courses318,998 learners

Offered by

EDUCBA

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