This eCourse consists of two modules. Module 1 looks at the main types of interest rate option, including caps, floors, collars, and swaptions. Interest rate options are financial derivatives that allow the holder to speculate on – or hedge against – interest rate movements.
Module 2 looks at the main features of interest rate options and their key uses.
On completion of this course, you will be able to:
- Identify the terminology employed with interest rate options
- Recognise the key uses of interest rate caps, floors, and collars
- Identify the main features and applications of swaptions, including swap opening and termination
Module 1: Interest Rate Options - An Introduction
Topic 1: Terminology
Topic 2: Caps, Floors, & Collars
Topic 3: Swaptions
Module 2: Interest Rate Options - Types
Topic 1: Caps & Floors
Topic 2: Swaptions