Courses & Units

Derivative Securities BEA380

Hobart

Introduction

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.

Summary

Unit name	Derivative Securities
Unit code	BEA380
Credit points	12.5
College/School	College of Business & Economics Tasmanian School of Business and Economics
Discipline	Finance
Coordinator	Doctor Nagaratnam Jeyasreedharan
Available as an elective?
Delivered By	Delivered wholly by the provider
Level	Advanced

Availability

Location	Study period	Attendance options		Available to
Hobart	Semester 2	On-Campus	Off-Campus	International International	Domestic Domestic

Key

: On-campus
: Off-Campus
: International students
: Domestic students

Key Dates

Study Period	Start date	Census date	WW date	End date
Semester 2	12/7/2021	10/8/2021	30/8/2021	17/10/2021

* 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 (refer to How do I withdraw from a unit? for more information).

Unit census dates currently displaying for 2021 are indicative and subject to change. Finalised census dates for 2021 will be available from the 1st October 2020. Note census date cutoff is 11.59pm AEST (AEDT during October to March).

About Census Dates

Learning Outcomes

Knowledge of options, forwards, futures and swaps and their markets.
Comprehend the mechanics of how options, forwards, futures and swaps work and apply to the real world situations
Pricing options, forwards, futures and swaps

Fee Information

Field of Education	Commencing Student Contribution ^1,3	Grandfathered Student Contribution ^1,3	Approved Pathway Course Student Contribution ^2,3	Domestic Full Fee ⁴
081105	$1,812.00	$1,419.00	not applicable	$2,702.00

Available as a Commonwealth Supported Place
HECS-HELP is available on this unit, depending on your eligibility³
FEE-HELP is available on this unit, depending on your eligibility⁴

¹ Please refer to more information on student contribution amounts.
² Please refer to more information on eligibility and Approved Pathway courses.
³ Please refer to more information on eligibility for HECS-HELP.
⁴ Please refer to more information on eligibility for FEE-HELP.

If you have any questions in relation to the fees, please contact UConnect or more information is available on StudyAssist.

Please note: international students should refer to What is an indicative Fee? to get an indicative course cost.

Requisites

Prerequisites

BEA112

Teaching

Assessment	Test or quiz (10%)\|Test or quiz (10%)\|Examination - invigilated (internally) (60%)\|Report (20%)
Timetable	View the lecture timetable \| View the full unit timetable

Textbooks

Required	You will need the following text [available from the Co-op Bookshop]: 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).
Recommended	: Baz, J. & Chacko, G.K. (2009), Financial Derivatives: Pricing, Applications, and Mathematics (Paperback), Cambridge University Press. Cox, J. & Rubinstein, M. (1985), Options Markets, Prentice-Hall, New Jersey. Dubofsky, D.A. (1992), Options and Financial Futures: Valuation and Uses, McGraw-Hill, New York. Hull, J.C. et all (2013). Fundamentals of Futures and Options Markets: Australasian edition, Pearson Australia. Kolb, R.W. (1997), Futures, Options and Swaps, Blackwell Business Publishers, 2nd edn, Malden. McDonald, R. L. (2009), Fundamentals of Derivatives Markets. Prentice Hall, Boston. Strong, R.A. & Jeyasreedharan, N. (2017). Understanding Derivatives: Options, Futures, Swaps, MBSs, CDOs and Others (First Edition), Tilde Publishing and Distribution, Prahan.
Links	Booktopia textbook finder

Required

You will need the following text [available from the Co-op Bookshop]:

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).

Recommended

: Baz, J. & Chacko, G.K. (2009), Financial Derivatives: Pricing, Applications, and Mathematics (Paperback), Cambridge University Press.

Cox, J. & Rubinstein, M. (1985), Options Markets, Prentice-Hall, New Jersey.

Dubofsky, D.A. (1992), Options and Financial Futures: Valuation and Uses, McGraw-Hill, New York.

Hull, J.C. et all (2013). Fundamentals of Futures and Options Markets: Australasian edition, Pearson Australia.

Kolb, R.W. (1997), Futures, Options and Swaps, Blackwell Business Publishers, 2nd edn, Malden.

McDonald, R. L. (2009), Fundamentals of Derivatives Markets. Prentice Hall, Boston.

Strong, R.A. & Jeyasreedharan, N. (2017). Understanding Derivatives: Options, Futures, Swaps, MBSs, CDOs and Others (First Edition), Tilde Publishing and Distribution, Prahan.

Links

Booktopia textbook finder

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