Module code: MTH6154
Credits: 15.0
Semester: SEM1
Contact: Dr Oscar Bandtlow
Prerequisite: Before taking this module you must take MTH5129
This module introduces you to some of the most important financial instruments, including bonds, shares and derivatives (such as forward contracts and options). By using the assumption that arbitrage opportunities do not exist in the market, we show how it is possible to derive formulas for the fair prices of many types of derivative. Some results can actually be derived in a model-independent way, although more generally we will work within the framework of a discrete-time trading model.
Connected course(s): UDF DATA
Assessment: 100.0% Examination
Level: 6
