Risk Management Suite

This comprehensive five-day course surveys the broad area of financial risk management. Using examples drawn from the major financial markets as well as exercises and case studies participants will be introduced to the broad area of financial risk management. Students learn how to measure and manage the different types of risks.

08-Nov-2010 -- 12-Nov-2010New YorkUSD$4875
NY Institute of Finance - Midtown9:00am - 4:30pm Instructional Method:
Group-Live
Instructor(s): [ Joseph Onochie; ] Mon Tue Wed Thu Fri Level: Intermediate

CPE CREDITS
36.0
Risk managers and assistants, trading assistants, finance professionals, auditors and controllers.
No advance preparation required.
"This course gives a good understanding of how businesses and firms really assess risk problems."
"All thanks to instructor for his detailed explanantion of all side topics whenever asked."
"Professor Onochie was very efficient and effective in conducting the course."
"The course made me appreciate the mechanics of computing for VAR and the procedures for risk management."
Day 1:
Introduction to and Overview of Risk Management
  • The need for financial risk management
  • Major causes of financial risk
  • Sources of financial risk
  • Evolution of risk management instruments
  • Recent risk events

Regulatory concerns and actions

  • Reducing financial disasters
  • Safety of the financial system

An overview of various types of risks

  • market
  • credit
  • operational
  • liquidity

Money and capital markets

  • Definition of money and capital markets
  • Money market instruments
  • Capital market instruments: Fixed-Income
  • Capital market instruments: Equity

Description of financial risk management instruments

  • Forwards
  • Futures
  • Swaps
  • Options
  • Exotics and other structures

Day 2:
Measuring Financial Risk
  • Interest rate and yield curve risks
  • Price value of a basis point (DV01)
  • Duration
  • Convexity

Equity risks

  • Variance
  • Covariance
  • Correlation
  • Beta
  • Value-at-risk
  • Variance-Covariance
  • Delta-Gamma adjustments
  • Historical Simulation
  • Monte-Carlo Simulation

Day 3:
Approaches to Financial Risk Management
  • Traditional approaches to financial risk management
  • Immunizations
  • Risk limits
  • Internal controls
  • Natural hedges in portfolios

Using derivatives to manage financial risks

  • Forwards
  • Futures
  • Swaps
  • Options
  • Using exotics and other structures

Asset-liability management

  • Maturity-Matching
  • Gap
  • Duration

Day 4:
Measuring the Risks of Derivatives used in Financial Risk Management
  • The Greeks
  • Delta and Gamma
  • Gamma, Theta and Rho

Value at Risk for Derivatives

  • Options
  • Futures
  • Swaps
  • Other Structures
  • Measuring Credit Risk of Derivatives
  • Examples, exercises and cases

Day 5:
Managing the Risk of Derivatives
  • Managing the Greeks
  • Delta Hedging
  • Gamma Hedging
  • Vega Hedging

Managing Swaps

  • Micro hedging
  • Macro hedging

Using Credit Derivatives

  • Taxonomy of Credit Derivatives
  • Managing risks with Credit Swaps, Total Return Swaps, Credit Spread Options
  • Examples, exercises and cases

Clients who register for this course will receive a complimentary 3 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 subscription, call 800-628-8088 or email uscirculation@ft.com. U.S. enrollees only. (All non-U.S. enrollees will receive a subscription to FT.com only.) Lunch included for all students taking day classes.

Lunch included for all students taking day classes.