Counterparty Credit Risk - Course Outline

Counterparty Credit Risk - Course Outline

Counterparty Credit Risk

A comprehensive e-learning product covering Monte Carlo Simulation

The themes of this product are:

Mechanics and techniques for the assessment, quantification and management of the credit risk for exchange-traded and over-the-counter derivatives.

Highlights
Library of 9 Courses
Available Products
Upcoming Products

Highlights

Overview
Expansion and globalization of financial markets, complicated derivative contracts and an array of structured products are giving rise to counterparty credit risk.

This product focuses on the mechanics and techniques of the assessment, quantification and management of the credit risk for various derivative products and includes techniques for the mitigation of pre-settlement and settlement risk such as netting and margin and collateral requirements. We also look at the Monte Carlo simulation methods for projecting worst-case exposure at the portfolio level.

After completing this course you will be able to:

Quantify credit risk in derivative products
Apply various techniques to mitigate credit risk
Calculate credit exposure using Monte Carlo simulation
Assimilate lessons from financial disasters (Barings Fall, Metallgesellschaft).

Target Audience
Every professional involved in the global financial services industry (as a provider, user, regulator or advisor of product/services, marketplace/exchange) would benefit from KESDEE’s innovative solutions.

Supervisory Agencies

Central Banks

Financial Institutions

Commercial Banks

Investment Banks

Housing Societies/Thrifts

Mutual Funds

Brokerage Houses

Stock Exchanges

Derivatives Exchanges

Insurance Companies

Multinational Corporations

Accountancy Firms

Consultancy Firms

Law Firms

Rating Agencies

Multi-lateral Financial Institutions

Others

Course Level and Number of Courses
Intermediate Level. Library of 9 Courses

Instructional Method
Dynamic, Interactive e-learning

Recommended Background
Familiarity with basic financial concepts

To purchase this course online, visit: Link
http://www.kesdee.com/courselist.html#!17

For purchase,contact us at

Library of 9 Courses

Counterparty Credit Risk
Time taken to complete each Course: 1.5 - 3 hours

1. Overview to Derivative Products-I

Objectives
Introduction
Forward contracts
Futures
Swaps

2. Overview to Derivative Products-II

Objectives
Introduction
Options
Option strategies-I
Option strategies-II

3. Credit Exposure

Objectives
Introduction
Credit Exposure
Measuring Credit Exposure
Probability of Default
Recovery Rate

4. Credit Risk in Derivative Products

Objectives
Introduction
Credit Risk in Swaps
Credit Risk in FRAs
Credit Risk in Options

5. Pre-settlement & Settlement Risk

Objectives
Introduction
Pre-settlement risk
Settlement risk

6. Netting

Objectives
Introduction
Types of netting
Regulatory requirements
Capital treatment

7. Margin and Collateral Requirements

Objectives
Introduction
Margin
Collateral
Haircut

8. Monte Carlo Simulation

Objectives
Introduction
Monte Carlo and Credit Risk

9 Case Studies

Objectives
Barings Bank’s Fall
Metallgesellschaft

JOB AIDS

Benchmarking Data
Disclosures
Measurement Tools
Regulations
Global Best Practices
References

Calculators in Counterparty Credit Risk

1. Margin Call
2. Margin Cost
3. Credit Exposure in an FRA
4. NPV
5. FRA

Available Products

Upcoming Products

For more information about our e-learning products and services
visit us at www.kesdee.com