
CDI offers 6 to 9 hour training modules, covering a variety of topics that are essential to understanding derivative instruments.
This modular training offers a la carte courses, particularly suitable for professions in or near derivatives on a regular basis. Among those enrolled in these courses are accountants, attorneys, back office personnel, corporate treasurers, company directors, retail brokers, auditors, and compliance experts.
The complete training program represents a total of approximately 90 hours of training and provides a complete update of knowledge on derivatives and structured products, the functioning of their markets, strategies, risk management, back-office operations and accounting for these instruments. For those with no experience in the field, it is recommended to start with the introductory module.
INTRODUCTION TO DERIVATIVES
(9 hours)
TOPICS
- Overview of derivative securities (futures, forwards, swaps and options)
- Main market places (OTC vs. exchanges), regulation and participants
- Speculative, arbitrage and hedging strategies using derivatives
- Risks associated with derivatives positions and transactions
STOCK AND INDEX DERIVATIVES
(9 hours)
TOPICS
- Stock index futures
- Stock options
- Index options
- The interbank market for equity derivatives
FOREIGN EXCHANGE DERIVATIVES
(6 hours)
TOPICS
- The spot market
- Futures and forwards
- The options market
- The management of a currency options portfolio
INTRODUCTION TO DERIVATIVES ON FIXED INCOME
(9 hours)
TOPICS
- Basic concepts on fixed income securities (price, yield curve, duration, etc.)
- Bond futures
- Bond and interest rate options
- Forward rate agreements
- Interest rate swaps and swaptions
- Bonds with options
INTRODUCTION TO ENVIRONMENTAL AND CLIMATE DERIVATIVES
(6 hours)
TOPICS
- Description of climate and environmental derivatives
- Strategies to use these derivatives
- The mechanics of how these markets operate
- The carbon market: Challenges and opportunities
- Lessons from international markets
INTRODUCTION TO CREDIT DERIVATIVES
(9 hours)
TOPICS
- Introduction to credit derivatives
- CDS
- CDS indices
- CDO and CDO squared
- The Canadian ABCP Portfolio
STRUCTURED PRODUCTS
(6 hours)
TOPICS
- Introduction (history, the Canadian structured products industry, basics of a structured note)
- Structured notes on interest rates (structures, risks, behavior)
- Structured notes on stocks (structures, risks, behavior)
- Why invest in a structured note? (institutional investors, retail investors)
BACK OFFICE OPERATIONS
(9 hours)
TOPICS
- The structure of Operations involved with derivatives
- The life cycle of a transaction, from initiation to maturity
- Focus on the specifics of the different asset classes
- Impacts and challenges of new laws and rules
- Operational risk management
- The profile of human resources in Operations
RISK MANAGEMENT
(9 hours)
TOPICS
- Financial institution risk management (middle office operations, Basel regulations)
- Risk management of pension funds
- Enterprise cash risk management (coverage and monitoring of strategies)
ACCOUNTING OF DERIVATIVES
(9 hours)
TOPICS
- Recognition according to different accounting standards
- Fair value measurement
- Hedging strategies
- Hedge accounting: requirements, documentation, tests, accounting
- Upcoming changes
DERIVATIVE INSTRUMENTS: LEGAL ASPECTS AND REGULATORY COMPLIANCE
(9 hours)
TOPICS
- Global initiatives on derivatives (ISDA standardized legal documentation, specific legal aspects, ability to contract)
- Suitability for the investor-client
- Multilateral clearing (netting) arrangements
- The Quebec legislative initiative and the scope of the Derivatives Act