Described by some practitioners as a bit of everything – they link to the debt, equity and option markets, CB’s can be seen as daunting. They are if you look into the modelling aspect of CB’s as models are proprietary as we have no universally recognised approach to valuing a CB. This class is an introduction bonds, explaining the products, the variations and when they make sense of issuers and investors.
Those who understand the basics of bond pricing and options – bond calculations and options basics and strategies in the series is adequate.
– Traditional asses classes: debt vs. equity
– Terms and definitions for CB’s
– Optionality Variations of CB’s
– Issuers and investors rationale
– Additional complications drew clauses, early redemptions
WHO SHOULD TAKE THIS COURSE?
Anyone interested in hybrid products
These courses are included in this module