About this Course
Learn about Credit Default Swaps (CDS), and the basic information such as bankruptcy; restructuring; hazard rate; survival probability; credit spread; and other factors used in pricing and trading credit default products. We will also present some of the mathematical formulations and their applications to trading CDS. As mentioned, the CDS market has grown drastically, and many new products and indices have been introduced. We will discuss some of these products and indices, and help you to get an overview of this exciting and somewhat complicated market today. We're going to wrap up this course by going through a brief overview of asset swaps and the basic structure of them. The examples of asset swaps and their applications will be discussed.
What You'll Learn
- Explain Credit Default Swaps (CDS) and their importance in finance.
- Describe CDS, their basic parameters, and their valuations.
- Understand how to apply CDS to investment, hedging, and structuring.
- Understand CDS, Credit Default Swap Index (CDX), and various other indices created to meet financial needs.
Prerequisites
- • Intermediate MS Excel skills (use solver, etc.)• Basic probability• Basic calculus• Some knowledge of equity marketsKnowledge of fixed income basics
Instructors
Jack Farmer
Instructor