Equity Derivatives - Part 2

Equity Derivatives - Part 2

Overview

This tutorial is an introduction to convertibles, the associated terms and provision and variants. It also introduces the key features of contingent convertibles (Cocos) and the related regulatory issues. The last part of the tutorial outlines how convertibles are priced and the factors that influence their prices.

Objective

On completion of this tutorial, you will be able to:
-Define a convertible bond
-Explain the mathematical terms associated with convertibles
-Outline the special provisions that can be included in the terms of a convertible
-List and describe the different convertible variants
-Describe the key features of contingent convertible (Coco) bonds, including 'trigger' points and pricing mechanisms
-Outline the key regulatory issues associated with CoCos
-Understand the factors that affect convertible prices
-Outline the basic concepts in the valuation of convertible bonds

Content

Module 1: Convertibles - An Introduction

Topic 1: What is a Convertible?
Topic 2: Mathematics of Convertibles
Topic 3: Provisions of Convertible Bonds
Topic 4: Convertible Bond Variations

Module 2: Contingent Convertibles (CoCos)
Topic 1: CoCo Fundamentals
Topic 2: Regulatory Issues

Module 3: Convertibles - Introduction to Convertible Valuation
Topic 1: Factors that influence the Price of a Convertible
Topic 2: Valuation of a Convertible
Topic 3: Convertible Price Sensitivity: Parity Delta and Gamma

Details

Code
TEPDS17000601
Venue
ePlatform
Language
English
Level
Intermediate
Hours
SFC:3.0, PWMA:3.0
Fees
All Member: HK$840
Non-Member: HK$1170
Staff of Corporate Member: HK$840