In this face-to-face and flexible delivery unit, we develop an understanding of one of the fastest growing types of financial markets - those of derivative securities. They are called derivative securities because they ‘derive’ their value from the value of something else—an underlying right or interest. Underlying rights or interests (or assets in general) include (a) bonds or loans, which involve interest rate, credit, and currency risks, and (b) commodities and equities, which involve price risks. Underlying rights can also be groups of assets, such as equity or commodity indexes, or relationships between prices, such as the spread between two benchmarks. Derivatives securities play an important role in risk management.
|Unit name||Derivative Securities|
|Faculty/School||College of Business & Economics
Tasmanian School of Business and Economics
|Discipline||Economics and Finance|
Dr Nagaratnam Jeyasreedharan
|Available as student elective?||Yes|
|Location||Study period||Attendance options||Available to|
|Hobart||Semester 2||On-Campus||Off-Campus||International International||Domestic Domestic|
- International students
- Domestic students
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|Study Period||Start date||Census date||WW date||End date|
* The Final WW Date is the final date from which you can withdraw from the unit without academic penalty, however you will still incur a financial liability (see withdrawal dates explained for more information).
Unit census dates currently displaying for 2020 are indicative and subject to change. Finalised census dates for 2020 will be available from the 1st October 2019.
- LO1: Knowledge of options, forwards, futures and swaps and their markets.
- LO2: Comprehend the mechanics of how options, forwards, futures and swaps work and apply to the real-world situations.
- LO3: Pricing options, forwards, futures and swaps.
|Band||CSP Student Contribution||Full Fee Paying (domestic)||Field of Education|
|3||2020: $1,394.00||2020: $2,702.00||081105|
Fees for next year will be published in October. The fees above only apply for the year shown.
Please note: international students should refer to this page to get an indicative course cost.
1 x 2 hour lecture, 1 x 1 hour workshop per week. Please check the unit outline for details.
Weekly e-Quizzes (10%), Test (10%), Report (20%), Final exam (60%).
|Timetable||View the lecture timetable | View the full unit timetable|
An Introduction to Derivative Securities, Financial Markets, and Risk Management (2nd Edition) by (author): Robert Jarrow (Cornell University, USA) and Arkadev Chatterjea (Indiana University, USA). Pages: 772 | July 2019. ISBN: 9781944659653 (paperback).
Booktopia textbook links
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