MPF_FIDE Financial Market Derivatives

Faculty of Economics and Administration
Spring 2024
Extent and Intensity
2/2/0. 6 credit(s). Type of Completion: zk (examination).
Taught in person.
Teacher(s)
doc. Ing. Tomáš Plíhal, Ph.D. (lecturer)
doc. Ing. Tomáš Plíhal, Ph.D. (seminar tutor)
Guaranteed by
doc. Ing. Tomáš Plíhal, Ph.D.
Department of Finance – Faculty of Economics and Administration
Contact Person: Iva Havlíčková
Supplier department: Department of Finance – Faculty of Economics and Administration
Timetable
Mon 14:00–15:50 P304, except Mon 1. 4.
  • Timetable of Seminar Groups:
MPF_FIDE/01: Thu 8:00–9:50 VT204, except Thu 4. 4., T. Plíhal
Prerequisites (in Czech)
! MPF_STPA Financial Derivatives && ! NOWANY ( MPF_STPA Financial Derivatives )
Course Enrolment Limitations
The course is only offered to the students of the study fields the course is directly associated with.
fields of study / plans the course is directly associated with
Course objectives
The course Financial Derivatives delves into the intricacies of derivative instruments, focusing on both fixed and conditional contracts, including forwards, futures, swaps, and options. It explores the utilization of derivatives within financial markets, particularly for hedging against various risks. Students will gain a comprehensive understanding of the essence and valuation of financial derivatives, along with detailed insights into the exchange trading mechanisms for futures and options.
Learning outcomes
Upon completing this course, the student will be able to:
- define financial derivatives and understand their specific characteristics
- explain the differences between fixed future contracts and options
- price financial derivatives
- suggest their use
Syllabus
  • Schedule:
    1. Introduction to financial derivatives
    2. Forwards and futures
    3. Determination of forward and futures prices
    4. Swaps
    5. Options
    6. Options trading strategies and hedging
    7. Option pricing - Binomial trees
    8. Option pricing - Black-Scholes model
    9. The Greeks and volatility
    10. Options on stock indices, currencies, and futures
    11. Structured products 1
    12. Structured products 2
Literature
    required literature
  • HULL, John. Options, futures, and other derivatives. Global edition. Harlow: Pearson, 2018, 891 stran. ISBN 9781292212890. info
    recommended literature
  • PIRIE, Wendy L. Derivatives. Hoboken: Wiley, 2017, xix, 597. ISBN 9781119381815. info
  • BLÜMKE, Andreas. How to invest in structured products : a guide for investors and investment advisors. Chichester: Wiley, 2009, xvi, 374. ISBN 9780470746790. info
  • BODIE, Zvi, Alex KANE and Alan J. MARCUS. Investments. 10th global ed. Maidenhead: McGraw-Hill Education, 2014, xxviii, 10. ISBN 9780077161149. info
Teaching methods
Lectures and seminars (practical exercises with examples)
Assessment methods
Requirements for completion:
- Students can earn 60 points from the written exam and 40 points from the mid-term tests conducted during seminars.
- Each student has the opportunity to retake each mid-term test once at the end of the semester; however, only the most recent result will be considered.
- Bonus points: 1 extra point can be earned for each lecture attendance (max. 12 bonus points per semester).
- The final grade is determined based on the following scale:
A 100 – 91
B 90 – 81
C 80 – 71
D 70 – 61
E 60 – 51
F 50 - 0

- If the student enrolls in the course while going abroad, he must pass all tests and exams upon his return.

Any copying, recording or leaking tests, use of unauthorized tools, aids and communication devices, or other disruptions of objectivity of exams (credit tests) will be considered non-compliance with the conditions for course completion as well as a severe violation of the study rules. Consequently, the teacher will finish the exam (credit test) by awarding grade "F" in the Information System, and the Dean will initiate disciplinary proceedings that may result in study termination.
Language of instruction
Czech
Follow-Up Courses
Further comments (probably available only in Czech)
The course is taught annually.
General note: Tento předmět je obsahově ekvivalentní s předmětem MPF_STPA vyučovaném v anglickém jazyce.
Credit evaluation note: k=1.
Listed among pre-requisites of other courses
The course is also listed under the following terms Spring 2010, Spring 2011, Spring 2012, Spring 2013, Spring 2014, Spring 2015, Spring 2016, Spring 2017, Spring 2018, Spring 2019, Spring 2020, Spring 2021, Spring 2022, Spring 2023, Spring 2025.
  • Enrolment Statistics (recent)
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