Companies must take risks if they are to survive and prosper. The risk management function requires full understanding of risks that the company is taking and the risks it plans to take in the future. Therefore we are living in a world of risks -regardless of visibility of them- and need to identify, measure and manage them accordingly. One of the best ways to hedge against risks is to take an opposite position to offset it.
The exchange for derivative instruments provides participants an opportunity to manage their risks as well as enable them to take speculative positions. However, it is not only costly to trade in derivatives market but also difficult due to its complexity. Following the Black and Scholes article of 1973 on option pricing, derivatives markets and instruments have become increasingly important in the world of finance, investments and risk management. It is now inevitably essential for all finance professionals and academics to understand how these markets work, how they can be used, and what determines prices in them. The Derivatives and Options Exchange Master program provides a unique opportunity to graduates who need to understand the mechanics and operation of the derivatives markets.
The program consists of several main courses that aim to equip program participants with quantitative skills to handle risk management and derivatives issues properly. Estimation and forecasting of risks of different types helps program participants to be fully familiar with the risks in a quantitative manner.
