Probability and Statistics for the Finance Professional

Finance professionals tend to take coursework in technical analysis, fundamental analysis, and portfolio theory. However, the underlying principle in all of these disciplines is a solid understanding of probability and statistics. This class is specifically relevant to the finance community.

21-Jul-2008 -- 22-Jul-2008ChicagoUSD$2375
NY Institute of Finance - Chicago9:00am - 4:30pm Instructional Method:
Group-Live
Instructor(s): [ Adam Shrager; ] Mon Tue Level: Basic
CPE Credits: 20.0

Traders, analysts, brokers, insurance professionals, and any other finance professional who desires to be savvier about the numbers underlying the numbers that they deal with each and every day.
No advance preparation required.
Evening 1:

Probability, Gambling, and Finance -- Practical Applications of Probability Theory in Finance and Life

  • Descriptive Statistics
  • Probability Models
  • Conditional Probability
  • Compound Events and Compound Probability
  • Bayes Theorum - 'Let's make a Deal'

Evening 2:

Expected Value and Expected Return -- How do we devise criteria for making investment or other financial decisions? Do these criteria have any bearing on real life?

  • Expected Value
  • Expected Return
  • Populations and Samples
  • Monte Carlo Estimation

Evening 3:

Risk & Return, understanding the trade-off. Mathematics of Portfolio Theory.

  • Beta
  • Delta
  • Gamma
  • Vega

Evening 4:

Arbitrage: The Pure Convergence of Mathematics and Finance.

  • Statistical
  • Deterministic
  • Practical Discussion: Are there truly any arbitrage opportunities left anymore?

Evening 5:

Placing Side Bets: The Mathematics of Derivatives I

  • The History of Hedging
  • Mathematics of Options
  • History of Options

Evening 6:

Placing Side Bets: The Mathematics of Derivatives II.

  • 'Advanced' Option mathematics
  • Option Pricing Models
  • Other Derivative Products
  • Other Hedging Vehicles

Evening 7:

More on Probability -- Technical Analysis

  • Theoretical basis for all charting
  • Understanding charts: How much do they really tell us? What they fail to tell us.

Evening 8:

Special Topics: to be determined by the class.

Clients who register for this course will receive a complimentary 6 month subscription to the Financial Times and FT.com. The Financial Times is the world's most respected financial newspaper, providing a broad assessment on finance, business and the industrial sector. Subscriptions will start within 6-8 weeks of the application process and are limited to one per client. For questions about your subscriptions call 800-628-8088 or email uscirculation@ft.com. US and Canada enrollees only.

Lunch included for all students taking day classes.