Corporate Financial Risk Management
- 1.5 credits
- Prerequisite: F520
The world of business is a risky place. Financial markets have responded with an array of products to help control this risk. This course introduces students to the applications of derivative securities and contracts in a financial risk (commodity prices, interest rates, and exchange rate) setting.
- Identifying and measuring financial risks
- Why manage financial risk?
- Traditional Tools: Forwards/Futures-Swaps-Options
- Innovations: caps, floors, collars-break and range forwards-swaptions
Course Materials: Managing Financial Risk, Smith, Smithson, and Wilford Exam(s), written assignments, and problem sets.
Kelley finance MBA students manage a live $400,000 portfolio through the Investment Management Academy.