This class concentrates on reviewing academic literature based mainly on commodity markets. This is a comprehensive course where students are active participants and write research papers. This class acquaints the students with the literature on options and futures markets, emphasizing financial asset markets. This is an advanced investments course combining financial theory and it practical application. Topics include futures pricing models, price behavior, hedging models and estimation, stock index futures and program trading, interest rate futures, swaps and bond portfolio management, and foreign currency futures.
Considerable emphasis is given to options pricing models and arbitrage relationships.
Students are also expected to write a research paper. Fin 472, Financial Engineering and Risk Management. The goal of the course is to provide participants with a solid understanding of the tools and techniques of risk management and financial engineering.